Paytm Cloud Technologies Limited (PCTL), a wholly owned subsidiary of one 97 communications , has approved an additional investment in its European arm. The Board of Directors of PCTL sanctioned the subscription to 9 million equity shares of Paytm Europe Payments S.A. at a consideration of EUR 1 per share, aggregating to EUR 9 million. The funds will be utilized to increase the paid-up capital of Paytm Europe to support its business requirements.

Investment Details

The consideration for the acquisition will be paid in cash. PCTL currently holds 100% of the EUR 1 million paid-up share capital of Paytm Europe, and this additional investment will not alter the shareholding percentage. Consequently, Paytm Europe will continue to remain a step-down wholly owned subsidiary of One 97 Communications Limited.

Transaction Structure

Paytm Europe Payments S.A. was incorporated on January 12, 2026, in Luxembourg and is yet to commence its business operations. The entity operates in the payment services sector. The transaction is categorized as a related party transaction since Paytm Europe is a related party of the company. However, One 97 Communications Limited stated that it is a professionally managed company with no identified promoters, and the deal has been conducted at arm's length.

Timeline and Approvals

No specific governmental or regulatory approvals are required for this acquisition. The company has indicated that the investment is expected to be completed on or before June 30, 2026. The disclosure was made to the stock exchanges on May 25, 2026, under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

One 97 Communications Limited , operating under the Paytm brand, has announced the launch of Paytm Pocket Money, a new product that enables teenagers to make UPI payments without holding their own bank account. The launch was disclosed under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The product is designed to bring everyday digital payments to teenagers in a supervised and controlled manner, while keeping parents and trusted family members in charge of spending access.

Addressing Everyday Teen Payment Needs

Across India, teenagers regularly make payments for school and college canteens, metro rides, cabs, mobile recharges, and shopping. Many continue to rely on cash or depend on parents to complete payments on their behalf. Paytm Pocket Money is positioned to bring this behaviour into a secure digital format, allowing parents to manage allowances while introducing teenagers to UPI payments in a supervised way through the Paytm app.

How Paytm Pocket Money Works

The product operates through UPI Circle by NPCI, enabling parents or trusted family members to invite teenagers, set monthly spending limits, and track payments in real time. Once activated, teenagers can make secure UPI payments across millions of online and offline merchants using their own mobile phone, without needing to borrow a parent's phone, request OTPs, or share QR codes via messaging apps.

The key financial parameters of the product are outlined below:

Built-In Safety Controls and Spend Visibility

Paytm Pocket Money includes several safety features designed to protect both teenagers and their families:

• Payments are capped at ₹500 for the first 30 minutes after setup and ₹5,000 within the first 24 hours
• A device lock is mandatory for activation
• Spending limits can be modified or access can be revoked at any time using the Paytm UPI PIN
• Payment history remains visible through the Paytm app

The product also integrates with Paytm Spend Summary, where every payment is automatically categorised. This enables families to monitor expenses, manage allowances more effectively, and build disciplined money habits over time.

Setting Up Paytm Pocket Money

The setup process for Paytm Pocket Money involves the following steps:

1. Update the Paytm app from the App Store or Play Store
2. Open the app and tap on 'To Mobile / Contact'
3. Select 'Pocket Money' to start setup
4. Enter or select the contact to set up Paytm Pocket Money for
5. Scan their UPI QR code or enter their UPI ID
6. Complete verification using the required document details
7. Set a monthly spending limit from the available options or enter a custom limit
8. Select the primary bank account and enter the Paytm UPI PIN to complete setup
9. The selected user must accept the invitation to activate Paytm Pocket Money

Company Statement

A Paytm spokesperson commented on the launch: "With Paytm Pocket Money, teenagers can start using Paytm UPI for everyday payments without needing their own bank account, while parents and family members stay in control. It brings pocket money into a safe digital format and helps families build responsible money habits early."

Paytm describes itself as the pioneer of mobile payments, QR codes, and Soundbox in India, and positions itself as a full stack merchant payments leader serving MSMEs and enterprises, as well as a leading financial services distribution company.