Paytm to invest Rs 455 Cr in subsidiaries, discontinue First Games

One 97 Communications Limited, the parent company of Paytm, approved a series of strategic measures at its board meeting on August 25. 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 infusion will not change the shareholding, the company informed through a stock exchange filing.

The company also approved the 100% acquisition of Foster Payment Networks for up to Rs 61 crore to make it a fully owned subsidiary. The Noida-based company also proposed transfer of equity in First Games Technology from Paytm Cloud Technologies to Paytm Services for up to Rs 140 crore.

Meanwhile, Paytm’s gaming arm First Games has discontinued its real money gaming business after the government notified the Promotion and Regulation of Online Gaming Act 2025. The company said that First Games contributes nothing to consolidated revenues and carries a nil book value.

The new Online Gaming Act bans all real money games in India. Platforms including Dream11, MPL, Zupee, Gameskraft, My11Circle, Probo, WinZo and Zupee and others have already shut their RMG verticals.