Paytm’s UAE Arm Brings in Abbar Group with 49% Stake

UAE-based fintech firm Paytm Arab Payments LLC has approved the issuance of shares equivalent to a 49% stake in the company to Abu Dhabi-based Abbar Global Opportunities Holdings Limited for about ₹19 crore, according to a regulatory filing made on Monday. The company is a step-down subsidiary of One97 Communications, the parent of Paytm.

Details of the Share Issuance

The board of Paytm Arab Payments approved the allotment of 76,862 equity shares of face value AED 100 each at par. Post allotment, Abbar Global Opportunities Holdings Limited will hold 49% of the paid-up share capital of Paytm Arab Payments LLC. The transaction values the company at a level aligned with its expansion plans in the UAE market.

About the Incoming Investor

Abbar Global Opportunities Holdings Limited is a special purpose vehicle owned by Mohamed Ali Rashed Alabbar, founder of Emaar Properties. Alabbar is widely known for developing landmark projects such as the Burj Khalifa and the Dubai Mall. His entry as a strategic investor is expected to strengthen Paytm’s local presence and partnerships in the Middle East region.

Change in Ownership Structure

Paytm Arab Payments was originally incorporated as a wholly-owned subsidiary of Paytm Cloud Technologies Limited, with the objective of expanding Paytm’s merchant payments and financial services technology in the UAE. 

Following the completion of the transaction, Paytm Arab Payments will cease to be a wholly-owned subsidiary and will become a 51% owned subsidiary of Paytm Cloud Technologies. It will continue to remain a step-down subsidiary of One97 Communications.

Broader Global Expansion Plans

Separately, the board of Paytm Cloud Technologies Limited, at its meeting held on December 22, approved the incorporation of two new wholly-owned subsidiaries in Indonesia and Luxembourg. 

The initial investment for these entities is set at ₹25 crore. These moves align with Paytm’s stated strategy of entering select international markets and exporting its technology-led payments and financial services capabilities.

Also Read: RBI Authorises Paytm Payments Services to Operate as Payment Aggregator for Offline and Cross-Border Transactions!

Conclusion

The induction of Abbar Global as a strategic shareholder marks an important milestone for Paytm’s UAE operations. By retaining majority control while bringing in a prominent regional investor, Paytm aims to accelerate growth, deepen market penetration, and advance its international expansion strategy across key global markets.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a private recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.