One97 Communications, which runs Paytm, said the board of directors of its subsidiary One97 Communications Singapore has approved the sale of its shareholding in Japanese payments firm PayPay Corporation.

Paytm entered the Japanese market in 2018 through a partnership with PayPay Corporation, a joint venture between SoftBank and Yahoo Japan, to provide QR code-based payment solutions.

“We wish to clarify that we have been informed by One97 Communications Singapore Private Limited, a wholly owned subsidiary of the Company (Paytm Singapore) at 12:49 p.m. (IST), that its Board of Directors, at its meeting held today, i.e., December 6, 2024, approved the sale of Stock Acquisition Rights (SARs) in PayPay Corporation, Japan,” Paytm said in a statement to the Indian stock exchanges.

Although Paytm did not disclose the deal size, but according to Moneycontrol report, the value of the deal is pegged at $ 250 million.

Paytm chief Vijay Shekhar Sharma had recently said that PayPay held a 65% market share on the customer side and a 75% share on the merchant side. 

The announcement comes few months after Paytm sold its entertainment ticketing business to Zomato for Rs 2,048 crore. And, Paytm reported its first ever profit of Rs 930 crore in Q2FY25, aided by an one-time exceptional gain of Rs 1,345 crore from sale of entertainment ticketing business. This was against net loss of Rs 292 crore recorded in the same quarter last fiscal.