One 97 Communications Ltd, the parent company of Paytm, has announced a series of strategic moves following its board meeting on August 25. The fintech major approved fresh capital infusions, an acquisition, and an internal restructuring, while formally exiting the real-money gaming space.
Capital Infusion into Subsidiaries
The board cleared investments of up to Rs 300 crore in Paytm Money and Rs 155 crore in Paytm Services through rights issues. Both are wholly owned subsidiaries, and the fresh infusion will not alter the existing shareholding structure.
Foster Networks Acquisition
The company also approved the 100% acquisition of Foster Payment Networks for up to Rs 61 crore, making it a fully owned subsidiary. In addition, equity in First Games Technology will be transferred from Paytm Cloud Technologies to Paytm Services for a consideration of up to Rs 140 crore.
Exit from Real-Money Gaming
Paytm’s gaming arm, First Games, has discontinued its real-money gaming business after the government enforced the Promotion and Regulation of Online Gaming Act 2025. The company clarified that First Games contributes nothing to consolidated revenues and carries a nil book value.
The new law bans all real-money games across India, prompting industry-wide shutdowns. Platforms such as Dream11, MPL, Zupee, Gameskraft, My11Circle, Probo, and WinZo have already terminated their RMG verticals.
Final Take
With fresh capital deployment and a sharper focus on fintech and payments, Paytm appears to be strengthening its core verticals while complying with the new gaming regulations. The acquisition of Foster Networks and internal restructuring signals a renewed push for operational alignment in its payments and services ecosystem.
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