Jio Financial Services and HDFC Bank are reportedly interested in buying Paytm’s wallet business.
Will Ambani buy Paytm?
Shares of Jio Financial Services rallied as much as 15 per cent in the stock market yesterday following reports that Paytm’s parent company, One97 Communications, is in talks with the two companies.
There is no major change in share price of HDFC Bank.
Since November last year, talks have been held with Jio Financial Services; Sources in fintech say that talks with HDFC Bank started shortly before the Reserve Bank took action.
However, Paytm’s stock continues to decline. Following the RBI order, the company’s share price has fallen by 42 percent in the last three trading days.
The industry is watching these developments closely as the talk is implemented, as it could lead to a major overhaul of the country’s financial technology sector.
What is a Valet?
‘Valet’ service is a secure digital payment method approved by the Reserve Bank of India. Money transactions can be easily done through the mobile application through the mobile app without any information about the bank account of the sender and receiver.