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Paytm is pumping Rs 2,250 crore into its payments arm as it races to meet new regulatory deadlines and reorganise its sprawling fintech empire. The investment will go into Paytm Payments Services Ltd (PPSL), a wholly owned subsidiary that's being positioned as the nerve centre for all of Paytm's merchant payment operations—both online and offline. The restructuring comes in response to stricter payment aggregator guidelines issued by the Reserve Bank of India on September 15, 2025. The new rules demand a clear wall between entities that handle payments and those running other business lines. Paytm has already started moving pieces on the board. Its offline merchant payments business—the QR codes at local kirana stores, the soundboxes that confirm payments, and card machines—has been transferred to PPSL. This unit alone brought in around Rs 2,580 crore in revenue last fiscal year, accounting for nearly half of Paytm's standalone sales. PPSL already runs Paytm's online payment gateway business and posted revenues of Rs 1,171.6 crore in FY25. By bringing both online and offline payment operations under one roof, Paytm hopes to streamline efficiency and stay on the right side of RBI's compliance requirements. In a related move, Paytm has also taken full control of Paytm Financial Services Ltd (PFSL), picking up an additional 51% stake from founder Vijay Shekhar Sharma and his investment vehicles for a nominal Rs 0.5 crore. PFSL is now a wholly owned subsidiary. The Rs 2,250 crore capital infusion will be completed in cash by December 31, 2025. Since PPSL is already entirely owned by parent One97 Communications, the investment won't alter ownership structures — it's purely about strengthening the balance sheet as Paytm prepares for the next phase of regulatory and operational scrutiny. New board appointment Paytm has brought on board Manisha Raj Raisinghani as an Independent Director, adding a tech veteran with deep AI and SaaS expertise to its boardroom. Raisinghani's appointment, effective November 04, 2025, comes with a five-year term and is subject to shareholder approval. She joins as a Non-Executive Independent Director, a role that will see her provide strategic oversight without day-to-day operational involvement. The new board member brings nearly two decades of experience in technology, artificial intelligence, and scaling startups. She currently leads SiftHub, an AI-native platform she founded to help revenue teams standardize their operations—from messaging to workflows to automation. Before turning entrepreneur with SiftHub, Raisinghani co-founded LogiNext, where she served as Chief Technology Officer. Over eight years, she helped build the logistics automation platform into a category leader used by global enterprises across multiple continents to manage and optimize delivery operations. A Carnegie Mellon University graduate with a Master's in Information Systems Management, Raisinghani is also an active mentor for women in STEM fields and early-stage founders. (Edited by Affirunisa Kankudti)
