From closing 300 million investment deal from Warren Buffet's Berkshire investment firm, to testing facial recognition tools in its application, the digital payment firm Paytm has been on the top of the news for the last few months. Here are some interesting events which unfolded at Paytm:
Paytm’s parent approves Berkshire’s $300 million investment
The US based investment firm Berkshire’s 300 million investment plan has been approved by One97 Communications which owns Paytm. Berkshire will subscribe to 1.7 million equity shares of Paytm. According to a report by Economic Times, “Warren Buffet-owned investment firm Berkshire Hathaway was about to invest close to Rs 2,500 crore in Paytm parent entity One97 Communications. Calculations show that the deal could value Paytm at anywhere around $10 billion, making it one of the most valued internet company in India.”
This is also the first investment in an Indian company for Berkshire investment firm.
Paytm moves NCLT against Reliance Telecom to recover dues worth Rs. 20 crore
The sinking ship of Anil Ambani-owned Reliance Communications is again in trouble as One97 Communications, the parent company of Paytm has moved to court citing non-payment of dues worth almost Rs 20 crore. Initial reports suggested that Reliance tried to settle the matter but it was not successful. Thus Paytm decided to move to National Company Law Tribunal (NCLT).
The Mumbai bench of the NCLT has scheduled a hearing on the case on 26 October.
Paytm is testing face recognition tool for payments
The company have recently started testing a facial recognition tool which will help customer’s smartphone to unlock the payment application. If the app gets installed, Paytm will be the first to introduce facial recognition to enable digital payment. This will also be enabled to make payment at merchant outlets with just the blink of an eye.
In the context of recent increase in phishing attacks and vulnerable offline payment modes which led to revealing passwords and pins to fraudsters, this facial recognition tool could enhance security.
Paytm applies for stock market license?
Paytm, the largest digital payment firm in the country, is now entering the world of stocks and shares. If reports are to be believed, the digital payment company has applied for a stock market license. The company was expected to submit an application to the Bombay Stock Exchange (BSE) or the National Stock Exchange (NSE) by the month end.
After adding Mutual Funds to Paytm Money a few weeks ago, the company is now focusing on adding share trading in its collection. It will offer shares of listed companies directly to its customers.
If Paytm gets a stockbroker license from the stock exchanges, it will offer its users to trade in equities, commodities and derivatives. According to reports, if the Paytm entry gets the license, it could change the dynamics of market and cause a stir considering its huge user base, and it could attract many new investors as well, as it claims to have over 300 million registered users.