Paytm Shares Up on Zomato Deal

28 Aug 2024 , 11:50 AM

Paytm stated on Tuesday that it has completed the transfer of its event and movie ticketing business to Wasteland Entertainment and Orbgen Technologies. Zomato has also subscribed to both of these companies’ share capital.

Following the report, Paytm shares jumped 2.5% on the BSE to a day high of Rs 559.65, while Zomato shares increased roughly 1% to Rs 257.80.

“We would like to inform you that, as part of this transaction, the transfer of the events and movie ticketing business to Wasteland Entertainment Private Limited (WEPL) and Orbgen Technologies Private Limited (OTPL), respectively, as well as Zomato Limited’s subscription to the share capital of both subsidiaries, was completed today, August 27, 2024. Simultaneously, the Company’s 100% interest in WEPL and OTPL has been transferred to Zomato Limited, resulting in both entities ceasing to be subsidiaries of the Company,” Paytm stated in a filing with the exchange.

According to the filing, the transaction will be paid once the post-closing audit adjustments are completed.

“Further to our intimation dated August 21, 2024, regarding the execution of the Share Purchase and Subscription Agreement (“SPSA”) with One 97 Communications Limited (“OCL”), WEPL, and OTPL, to inter-alia acquire the entertainment ticketing business of OCL, OTPL and WEPL (as detailed under the SPSA and the transaction documents), we would like to inform the exchange(s) that the Company has completed the acquisition of OTPL and WEPL on August 27, 2024,” informed Zomato to the stock exchanges via a company filing.

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