Paytm and Paytm Payments Bank mutually agree to discontinue various inter-company agreements
The shareholders of PPBL have agreed to simplify the Shareholders Agreement (SHA) to support PPBL's governance, independent of its shareholders.
In an official filing to the BSE and the NSE, One 97 Communications Ltd (Paytm) has informed that the Company and its associate entity, Paytm Payments Bank Limited (PPBL), have introduced additional measures to strengthen their approach towards independent operations of PPBL.
As part of this process to reduce dependencies, Paytm and PPBL have mutually agreed to discontinue various inter-company agreements with Paytm and its group entities. Further, the shareholders of PPBL have agreed to simplify the Shareholders Agreement (SHA) to support PPBL's governance, independent of its shareholders.
The Board of One 97 Communications Ltd approved the termination of agreements and amendment of SHA on March 1. Paytm had announced earlier that it would sign up new partnerships with other banks and take measures to provide seamless services for its customers and merchants.
In its intimation to stock exchanges on February 1, the company had indicated the possible financial impact.
The filing also clarified that, One 97 Communications Limited and its services that include the Paytm app, Paytm QR, Paytm soundbox and Paytm Card machines will continue to work uninterrupted.
The filing added that Paytm is committed to uphold the highest standards of market leading innovation and technology enabled solutions for its customers.
Earlier on February 26, One 97 Communications Ltd (OCL) had said that its associate bank Paytm Payments Bank Limited, has reconstituted its Board of Directors. It appointed Ex-Central Bank of
India Chairman Srinivasan Sridhar, retired IAS officer Debendranath Sarangi, former Executive Director of Bank of Baroda Ashok Kumar Garg, and Retd. IAS Rajni Sekhri Sibal.
In the same exchange filing, it said the Company has been separately informed that founder Vijay Shekhar Sharma has also resigned from the Board of Paytm Payments Bank to enable this transition.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
Retirement Planning: SIP+SWP combination; Rs 15,000 monthly SIP for 25 years and then Rs 1,52,000 monthly income for 30 years
Top Gold ETF vs Top Large Cap Mutual Fund 10-year Return Calculator: Which has given higher return on Rs 11 lakh investment; see calculations
Retirement Calculator: 40 years of age, Rs 50,000 monthly expenses; what should be retirement corpus and monthly investment
SBI 444-day FD vs Union Bank of India 333-day FD: Know maturity amount on Rs 4 lakh and Rs 8 lakh investments for general and senior citizens
EPF vs SIP vs PPF Calculator: Rs 12,000 monthly investment for 30 years; which can create highest retirement corpus
Home loan EMI vs Mutual Fund SIP Calculator: Rs 70 lakh home loan EMI for 20 years or SIP equal to EMI for 10 years; which can be easier route to buy home; know maths
10:54 AM IST