Paytm shifted its payment gateway business into a separate entity, Paytm Payments Gateway Service Pvt Ltd, and has infused ₹100 Cr worth of equity capital into the new entity. Hiving off the business can help it grow its merchant base for online gateway services separately taking on several new and legacy fintech players and banks that are in the space.
Paytm is diving deep in the financial services industry in India, currently Paytm provides payment gateway services, e-wallets, credit products for individuals and micro and small merchants, gold investments, a mutual funds platform, derivatives and stock trading among other products. The company also has a payments bank license, gaming platform Paytm First Games, and e-commerce platform Paytm Mall. A “mini app store” was launched last year to compete with Google’s Android Play Store.