Zomato To Take Over Paytm's Movie Ticketing Biz? Check What Both Companies Said

New Delhi: Amid widespread media speculations that Online food delivery platform Zomato might take over Paytm's movie and ticketing business, the former has confirmed that talks are ongoing, 'though no binding deal yet'.

In a regulatory filing, Zomato has informed, "We have noticed that there are certain news articles circulating in the mainstream media with the subject “Zomato in talks to acquire Paytm’s movies, ticketing business”. This voluntary disclosure is being made to clarify our stance on the matter given that any transaction that is considered potentially meaningful may create uncertainty in the market."

Zomato further added, "We acknowledge that we are in discussions with Paytm for the aforementioned transaction, however, no binding decision has been taken at this stage that would warrant a Board approval and subsequent disclosure in accordance with applicable law."

The company said that the above discussion is being undertaken with an intent to further strengthen the company's Going-out business and is in line with its stated position of focusing only on our four key businesses currently.

Meanwhile, Paytm parent firm  one97 communications also has separately issued clarification the issue to the stock exchange.

It said, "The Company routinely explores various strategic opportunities aimed at enhancing shareholder value. The potential transfer of Paytm’s Entertainment business, a component of our Marketing Services, is one opportunity under consideration. As noted in our earnings call, our focus will be on payment and financial services along with digital goods commerce, which are designed to help our merchants scale their businesses. However, any discussions currently underway are preliminary and do not involve any binding agreements that require approval or disclosure under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, or other applicable laws. As such, any information pertaining to these discussions should be considered speculative at this time."

Paytm further added that it shall continue to make necessary disclosures as and when required.