By purchasing Paytm Insider, the entertainment and events ticketing division of One 97 Communications Limited (OCL), for Rs 2048.4 crore, Zomato has made a substantial move to expand its business boundaries.
Zomato buys Paytm insider
The board of Zomato has authorized the acquisition. It will enable the industry leader in food delivery to expand into the entertainment ticketing market and enhance its current dining and delivery offerings. Zomato stated in a regulatory statement on Wednesday that it has reached a deal with OCL, Wasteland Entertainment Private Limited (WEPL), and Orbgen Technologies Private Limited (OTPL) through the execution of a Share Purchase and Subscription Agreement (SPSA). By purchasing Paytm Insider, the entertainment and events ticketing division of One 97 Communications Limited (OCL), for Rs 2048.4 crore, Zomato has made a substantial move to expand its business boundaries. After the SPSA is signed, the transaction will be completed in 90 days, with OTPL’s acquisition priced at Rs 1,264.6 crore and WEPL’s at Rs 783.8 crore. Zomato wants to further diversify its business, thus it is entering the ticketing industry for entertainment. The organization emphasized that this action is in line with its strategic goal of supporting its “Going-out” business. It is a crucial area of platform growth. Operating since 2007, OTPL specializes in cinema ticket listings. As of March 31, 2024, their turnover was recorded at Rs 13.14 crore. With an emphasis on event ticketing, WEPL entered the market in 2015 and generated revenue of Rs 236.03 crore at that time..
