Zomato has confirmed that it is in talks to acquire Paytm's movie and ticketing business.

Gurgaon-based Zomato has confirmed ongoing discussions to acquire Paytm's movies and ticketing business. In a stock exchange filing, the company stated, "We acknowledge that we are in discussions with Paytm for the aforementioned transaction. However, no binding decision has been made at this stage that would require board approval and subsequent disclosure in accordance with applicable law." They added that this potential acquisition aims to strengthen their Going-out business and aligns with their focus on their four key areas.

On June 16, ET reported that Zomato is interested in acquiring Paytm’s movie booking and events unit, with a deal potentially valuing Paytm's vertical at around Rs 1,600-1,750 crore. The valuation could rise to Rs 2,000 crore after including receivables from cinema exhibitors, according to sources familiar with the matter.

Paytm also confirmed in an exchange filing that discussions regarding the potential transfer of its entertainment business are preliminary and non-binding at this stage.

If the transaction proceeds, it would be one of Zomato’s largest acquisitions, following their acquisition of Uber Eats in 2020 and the takeover of the quick commerce platform Blinkit (formerly Grofers) in 2021 in an all-stock deal valued at Rs 4,447 crore.