Zomato and Paytm are currently in discussions regarding the potential acquisition of Paytm’s movie and ticketing business, as confirmed by both companies in recent filings. The move comes as Zomato aims to strengthen its Going-out business segment and tap into the growing demand for entertainment services. In a BSE filing, Zomato stated that the discussions with Paytm are part of their strategy to focus on core businesses, which include food delivery, quick commerce, and Zomato entertainment. Meanwhile, Paytm’s parent company, One97 Communications Ltd, acknowledged exploring strategic opportunities to enhance shareholder value, with the potential transfer of the Entertainment business being one of them. The discussions between the two companies are said to be preliminary and non-binding at this stage. Zomato reported significant growth in its Going-out business in Q4FY24, with over 200% growth in Gross Order value. The company is investing heavily in Zomato Entertainment and Blinkit, its quick commerce arm, in a bid to expand its offerings and services to users. The potential acquisition of Paytm’s movie and ticketing business could be a strategic move for Zomato to bolster its presence in the entertainment and events market. Stay tuned for further updates on this developing story.
