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Paytm Singapore to sell its stake in Japan’s PayPay to Softbank fund
- IBJ Bureau
- Dec 08, 2024
Fintech firm and owner of Paytm brand One97 Communications’ Singapore-based arm has approved the sale of its stock acquisition rights in Japan’s PayPay to Softbank Vision Fund 2 for Rs 2,364 crore, the company has said in a regulatory filing.
Paytm and Paytm Singapore had signed an agreement with the Japanese digital wallet firm, Softbank Corp, Softbank Group Corp and Yahoo Japan Corporation to provide technology services to PayPay.
In lieu of the services, Paytm Singapore had acquired stock acquisition rights, convertible into 1,59,012 shares or a 7.2 per cent stake in PayPay on a fully-diluted basis.
“One97 Communications Singapore has informed the company on December 6, 2024, at 12:49 pm (IST) that its board of directors at its meeting held on December 6, 2024, has approved the sale of all its stock acquisition rights in PayPay Corporation, Japan, to SoftBank Vision Fund 2 entity for net proceeds of 41.9 billion yen (equivalent to Rs 2,364 crore),” the company has said in the filing.
This transaction puts the valuation of PayPay at around $3.8 billion or about Rs 32,000 crore.
Paytm has said that the transaction is expected to be completed in December 2024.
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