One97 Communications Denies Talks with Adani Group for Stake Sale: Paytm

New Delhi: In a recent development, Paytm operator One97 Communications Ltd has clarified that it is not in talks to sell a stake to the Adani Group, dismissing reports suggesting otherwise. The Adani Group has also refuted these claims, calling them “false and untrue.”

Speculation arose after a report suggested that billionaire Gautam Adani was in discussions with Paytm CEO Vijay Shekhar Sharma for a possible stake buy. However, One97 Communications has stated that the news item is purely speculative and the company is not engaged in any such discussions.

Similarly, an Adani group spokesperson has categorically denied the baseless speculation, labeling it as completely false. This comes amidst ongoing rumors about Paytm being a potential takeover target, especially after its banking unit was shut down due to regulatory issues.

Earlier this year, there were reports of talks between Paytm and Mukesh Ambani’s Jio Financial Services, which were also denied by both parties. Paytm has been facing challenges, with a recent widening of losses in the fourth quarter of the financial year 2023-24 following the RBI’s ban on transactions related to its payments bank.

The RBI’s decision to bar Paytm Payments Bank Limited from accepting deposits and credit transactions has had a significant impact on the company’s financials. Paytm reported a loss of Rs 550 crore in the last quarter, with the company writing off a Rs 227 crore investment in PPBL due to uncertainties surrounding the bank’s operations.

Despite these challenges, Paytm remains a prominent player in the digital payments space, with Vijay Shekhar Sharma holding a significant stake in the company. As the company navigates through these turbulent times, all eyes will be on its future strategies and partnerships to regain its market value.