'Speculative, untrue': Paytm, Adani Group deny stake sale in fintech major

News report said coal-to-airports conglomerate is buying a stake in the digital payments firm

One97 Communications (OCL), the company that runs Paytm, and the Adani Group have denied reports that the coal-to-airports conglomerate is buying a stake in the fintech major.

A media report said Vijay Shekhar Sharma, founder and chief executive officer of Paytm, met Gautam Adani, chairperson of the Adani Group, in Ahmedabad on Tuesday.

“We hereby clarify that this is speculative and the Company is not engaged in any discussions in this regard,” said Paytm in a statement.

“We categorically deny this baseless speculation. It is totally false and untrue,” said a spokesperson for the Adani Group.

Noida-based digital payments firm Paytm reported a consolidated loss of Rs 549.6 crore in the fourth quarter (Q4) of financial year 2023-24 (FY24), compared to Rs 168.4 crore in the same quarter last year.

Sequentially, the loss doubled from Rs 219.8 crore in Q3 FY24.

The company attributed the decline in income to “temporary disruptions in business operations”.

The company's associate entity, Paytm Payments Bank is under Reserve Bank of India (RBI) restrictions for not complying with regulations.

The Adani Group is reportedly considering the creation of customised artificial intelligence (AI) models for commercial prospects and consolidating digital services on a super app, according to people in the know.

The Adani One app, part of its consumer-facing businesses, is reportedly in talks to expand into e-commerce and digital payments, according to the Financial Times. The conglomerate is also looking to offer online shopping through the Open Network for Digital Commerce.