Homegrown payment-cum-ecommerce firm Paytm and AGTech Holdings Limited will launch Gamepind, a mobile gaming platform with social and casual games that include rewards.
In July last year, One97 Communications-owned Paytm formed the joint venture with Hong Kong-based lottery firm AGTech Media to launch a mobile gaming company in India.
The latest development comes on the back of resignation of Dushyant Saraswat who headed the gaming division at Paytm.
Last week, Saraswat who led the mobile gaming joint venture of Paytm and Alibaba-owned AGTech Media Holdings Ltd had left the firm to start his own venture.
In the joint venture, AGTech Media holds 45 per cent and Paytm is a majority stakeholder, owning 55 per cent. In addition, Alibaba Group holds a controlling stake in AGTech Holdings, reports ET.
The newly announced Gamepind will be available both through the Paytm app as well as an independent app. It comprises casual games, contests, and sports games, combined with a rewarding and engaging winning experience for the end user.
By offering coupons and products, Gamepind will also act as a marketing and promotional platform for merchants to engage with mobile shoppers and casual gamers.
As per their previous commitment, AGTech and Paytm will together pump in $16 million (Rs 103 crore) in the new venture. The board will comprise of five directors, three from Paytm and two from AGTech Media.
With this joint venture, AGTech has begun its strategic global expansion. Meanwhile, for Paytm, the joint venture will provide mobile games and user engagement projects to Indian market by leveraging the AGTech Media Group’s experience in creating mobile entertainment applications and Paytm’s distribution nexus.
According to ‘Emerging Trends in Indian Gaming Industry’ report, the Indian gaming industry is expected to hit $801 million by 2022, at a compound annual growth rate of 6.61 per cent. With the recent boom in the gaming industry, it will be interesting to see how a payment company leverages the opportunity.