Paytm infuses Rs 2,250 crore into payments arm amid investor churn

The capital infusion strengthens PPSL at a time when Paytm has seen notable reshuffling among its institutional shareholders.

By  Storyboard18| December 15, 2025, 09:41:55 IST
Earlier this year, Ant Group, Alibaba’s financial services affiliate, exited nearly 4% of its stake in Paytm

One97 Communications, the parent of Paytm, has infused an additional Rs 2,250 crore into its wholly owned subsidiary, Paytm Payments Services Limited (PPSL), by subscribing to its rights issue of equity shares.

In a stock exchange filing, the company said it completed the investment on December 12, 2025. The capital infusion strengthens PPSL at a time when Paytm has seen notable reshuffling among its institutional shareholders.

The move comes weeks after Elevation Capital pared its stake in One97 Communications, selling 1.86% through a bulk deal valued at Rs 1,556 crore. The fund and its related entities offloaded around 1.19 crore shares at an average price of Rs 1,305 apiece, reducing their holding from 15.33% to about 13.47%.

Earlier this year, Ant Group, Alibaba’s financial services affiliate, exited nearly 4% of its stake in Paytm in October 2025, raising about Rs 2,103 crore.

At the same time, domestic institutional interest has picked up. Motilal Oswal Mutual Fund has increased its holding in the company to 5.15%, according to shareholding disclosures.

Operationally, Paytm has shown signs of a turnaround. In the second quarter of FY26, the company reported a profit after tax of Rs 21 crore, compared with losses a year earlier, while operating revenue grew 24% year-on-year to Rs 2,061 crore. Growth was driven by a rise in subscription-based merchants, higher payments gross merchandise value (GMV), and wider distribution of financial services products.

Excluding a one-time charge, Paytm’s quarterly profit stood at Rs 211 crore, underscoring improving core profitability even as the company continues to recalibrate its capital structure.

First Published onDecember 15, 2025, 09:41:55 IST

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