In a recent news, India’s food delivery giant zomato is eyeing for a big fish. Discussions are around that the food delivery company is set to acquire paytm’s movie ticketing and events business. This has been reported by a Bloomberg report.
As of now, it is alleged that the dealings between paytm’s parent company, One97 communications Ltd., and zomato is at it’s nascent stages.
It is reported that the strategic partnership will have profits for both the entities. Zomato’s ‘going out’ offerings will expand more. and paytm’s movie ticketing and events vertical could reportedly value Rs 1,500 crore, according to an Economics Times report.
Zomato’s interest in buying movie ticketing and event business vertical of paytm fits in well with its push towards capturing consumer demand across categories like food, grocery and entertainment.
According to Economic Times, if the business deal happened smooth and successful then this would be zomato’s second largest buy after it acquired quick delivery commerce platform Blinkit in 2022 in an all stock deal for Rs 4,447 crore.
One97 Communications various stakes in Movie Ticketing and event business
1. The paytm parent had bought a majority stake in Insider.in, in 2017 for 35 crores. It is an online movie ticketing and events platform backed by event management company Only Much Louder.
2. A year later Paytm also acquired a Chennai based online ticketing company TicketNew.
Paytm movies’ biggest competitor is BookMyShow, which is backed by venture capitalists like Reliance, Accel and Elevation. It’s operating revenue for the FY ending March 31, 2023 was Rs 976 crore, and it’s profits were Rs 85.72 crore.
Zomato’s focus
Zomato offers ticket-booking services fo ecents, along with organising food festival called Zomaland.
The company’s head said that the combination of dining out, events and ticketing could be the ‘fourth largest business coming out of Zomato”. The other three successful verticals of th company are Blinkit, Hyperpure and Food ordering.
Zomato’s eye now fixates at Paytm’s successful print on Marketing services segment like, deals and gift vouchers, ticketing(travel, movie, events), advertising and credit cards marketing among others.
And recenue from this market in FY24 stood at Rs 1,734 crore.
