Fintech major Paytm has agreed to sell a 49% stake in its United Arab Emirates-based subsidiary, Paytm Arab Payments LLC, to Abbar Global Opportunities Holdings Limited, an investment vehicle controlled by Mohamed Ali Rashed Alabbar, the founder of Emaar Properties. The deal, approved through a regulatory filing, values the share sale at approximately ₹19 crore.
Key Highlights
- Paytm sells 49% stake in UAE subsidiary to Emaar founder’s SPV for ₹19 crore deal.
- Transaction brings strategic regional partner while Paytm retains majority control and expands international payments footprint.
Paytm Arab Payments, originally a wholly-owned overseas arm of Paytm Cloud Technologies Limited — itself a subsidiary of One97 Communications — was established to drive the company’s technology-led merchant payment solutions and financial services in the UAE market. Under the transaction, 76,862 new equity shares representing 49% of the paid-up capital will be issued to the Abu Dhabi-based investor, allowing Abbar Global to become a significant minority partner.
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Following the allotment of shares, Paytm will retain 51% ownership of the UAE unit, ensuring it remains the majority shareholder and the entity continues as a step-down subsidiary of the parent group.
The move forms part of a broader overseas expansion strategy. Paytm’s board has also approved setting up two wholly-owned subsidiaries in Indonesia and Luxembourg with an initial investment to pursue growth opportunities in international markets. These developments align with the company’s efforts to broaden its global footprint for digital payments and financial technology services.
The entry of a strategic partner with deep regional experience is expected to strengthen Paytm’s position in the Gulf region while freeing up capital and expertise to support further expansion.
