Post by : Badri Ariffin

Paytm Arab Payments LLC, a subsidiary of One97 Communications based in the UAE, has finalized plans to issue equity shares reflecting a 49 percent stake to Abu Dhabi's Abbar Global Opportunities Holdings Limited for around Rs 19 crore, as reported in a regulatory filing on Monday.

Abbar Global Opportunities Holdings Limited is a special vehicle owned by Mohamed Ali Rashed Alabbar, the visionary behind Emaar Properties, celebrated for iconic projects including the Burj Khalifa and Dubai Mall.

According to their filing, the Board of Directors at Paytm Arab Payments has sanctioned the issuance and allotment of 76,862 equity shares with a nominal value of AED 100 each, accounting for 49 percent of the post-issue paid-up capital.

Initially formed as a wholly owned unit of Paytm Cloud Technologies Limited, Paytm Arab Payments LLC aims to promote the distribution of Paytm's technology-driven merchant payments and financial services in the UAE.

Upon the conclusion of this transaction, Paytm Arab Payments will transition from being wholly owned to a 51 percent-owned subsidiary, yet it will remain a step-down subsidiary under One97 Communications, as stated in the filing.

Additionally, Paytm Cloud Technologies' board has sanctioned the creation of two new wholly owned subsidiaries in Indonesia and Luxembourg, each set for an initial investment of Rs 25 crore. This initiative is in line with Paytm's strategic approach to penetrate select international markets and broaden its global merchant payment and financial services technology reach.

This recent investment and international expansion strategy highlight Paytm's commitment to bolstering its global footprint while collaborating with partners possessing regional expertise.

#Global News #Tech News