Paytm Entertainment’s post-money valuation is said to have reached $81 Mn
Paytm Entertainment acquired TicketNew last year
Paytm and BookMyShow will face challenges with the entry of Jio offering First Day First Show
Paytm Entertainment, the entertainment arm of Noida-headquartered digital payments giant Paytm, has raised INR 31.68 Cr from its parent company.
According to the Ministry of Corporate Affairs filings accessed by Inc42, One 97 Communications on September 9 was allotted 3.5 Mn equity shares at a premium of INR 80 worth INR 31.68 Cr ($4.5 Mn).
The investment was first alerted by Paper.vc, which said that post-investment, Paytm Entertainment’s valuation has reached $81 Mn.
Paytm Entertainment: The Silent Growth
Paytm Entertainment deals in ticket booking for movies and other entertainment channels. After entering the ticketing segment back in March 2016 in partnership with PVR, Paytm has scaled its ticketing business to 660 cities.
Related Article: Paytm Acquires Majority Stake In Event Ticketing Venture Insider.in With $5.2 Mn Investment
In July 2017, it acquired a majority stake in Insider.in, an events ticketing platform, to tap into the rapidly growing live entertainment space in India. Paytm took a majority stake in Insider.in for $5.42 Mn (INR 35 Cr).
In February 2018, the company claimed to have achieved 5x growth in online ticket sales in 2017 by selling 52 Mn movie and events tickets. Madhur Deora, chief financial officer and senior vice-president, Paytm, had claimed that the company currently contributes 25%-30% towards the opening weekend box office collection of major movies.
Paytm Entertainment also acquired TicketNew for ramping up its operations in the ticket booking business and claimed to have successfully ticketed over 8,000 events with over a million tickets sold.
Over the last few years, Paytm has been working closely with leading production houses and supporting them with marketing campaigns and analytics. It has also introduced features such as Movie Refunds and Movie Passes. However, the company hasn’t announced any new performance figures yet.
The Competition With Entry Of Jio
Paytm’s biggest competitor in the space is BookMyShow, among other players. BookMyShow is currently present in more than 650 towns and cities across 4,500 screens in India. The company has raised over $224.5 Mn. In FY18, the company’s total revenue for the year was $54.4 Mn (INR 400.71 Cr), against $45.16 Mn (INR 332.38 Cr), a 20% jump over the previous year. The growth, however, was less than the 27% growth in FY17.
BookMyShow has been struggling with a declining growth rate and increased expenses.
However, these companies as well as the whole movie industry will soon be at loggerheads with Jio as it plans to launch its ‘First Day, First Show’ service, which can be enjoyed from home. Premium users of the Jio Fiber will get access to a yet-to-be-launched OTT platform by Jio, which will allow users to watch movies on the same day it is released. The launch date for this platform is said to be in mid-2020.
According to KPMG’s M&E report 2019, the industry in India posted solid growth of 13% during FY19 to reach a size of INR 1631 Bn with a CAGR of 11.5% over FY15-FY19.
Paytm Note: We at Inc42 take our ethics very seriously. More information about it can be found here.facebooktwitterwhatsappAuthorBhumika KhatriInc42 Staff
Hailing from a business-oriented family, Bhumika has always been crunching numbers in her head. Words are her escape and she looks to find hidden startup stories. Reach her on [email protected]
Responses Click to CommentPopular On Inc42 WhatsappFacebookTwitterLinkedin Mail WhatsappFacebookTwitterLinkedin Mail
PM Modi said that a “myth” has been spread that e-cigarettes pose no danger
The Prime Minister said “e-cigarette has been banned so that this new form of intoxication does not destroy our demographically young country”
On September 18, Finance Minister Nirmala Sitharaman announced the ban on e-cigarettes
Continue Reading News PM Modi On E-Cigarettes: Ban Imposed To Prevent Trampling Of Our Child… By Bhumika K. 30 Sep’19 3 min read WhatsappFacebookTwitterLinkedin Mail WhatsappFacebookTwitterLinkedin Mail
The fifth leg of BIGShift was held on September 20 at the DevX in Ahmedabad
Over 70 startups and ecosystem stakeholders including Sanjay Randhar, GVFL and Hiranmay Mahanta, GTU Innovation Council and Mayank Patel, CrAdLE were part of the event
Enterprisetech startup Gridle won the BIGShift Pitch Ahmedabad edition
Continue Reading Features Ahmedabad Proves To Be A Beacon Of Inspiration For Emerging Startup Hu… By Team Inc42 26 Sep’19 8 min read WhatsappFacebookTwitterLinkedin Mail WhatsappFacebookTwitterLinkedin Mail
Data protection norms should be about security standards not about whether the data is localised
India could lose nearly $8.4 Bn (over INR 62K Cr) annually due to data localisation impact on tech businesses
A 2018 survey found that 52% of Indian companies with $100 Mn-$1 Bn revenue reported a data breach
Continue Reading DataLabs Why Data Is Not Oil: Here’s How India’s Data Localisation Norms Will H… By Ankan Das 27 Sep’19 12 min read WhatsappFacebookTwitterLinkedin Mail WhatsappFacebookTwitterLinkedin Mail
2019 has been a defining year for us, says Mswipe founder Manish Patel
Mswipe is looking to increase its merchant user base and revenue through new services at affordable pricing
The digital payments economy in India will cross $2 Tn in market value in 10 years, Patel said
Continue Reading Startup Stories Inc42 UpNext: Mswipe Turns To MSME Sector For The Momentum To Reach Th… By Team Inc42 27 Sep’19 10 min read WhatsappFacebookTwitterLinkedin Mail WhatsappFacebookTwitterLinkedin Mail
From bootstrapping to seed VC funds, startups have plenty of options to start off
Approaching the right investors during the seed stage can bring the ideal results
Finding a less-aggressive investor who can guide and mentor the startup is better for the long run
Ford has ceded control of its India business to Mahindra and Mahindra
Mahindra will own 51% controlling stake in the JV
Mahindra has been aggressively expanding its footprint in the India EV ecosystem
Continue Reading News Mahindra And Ford JV To Focus On Electric Vehicles Manufacturing By Yatti Soni 02 Oct’19 2 min read WhatsappFacebookTwitterLinkedin Mail WhatsappFacebookTwitterLinkedin Mail
Khatabook is an app that enables SMEs to record and track business transactions
Amrish Rau, Anand Chandrasekaran, Kunal Shah and others also participated in the round
Company plans to utilise the funding for building new products
Continue Reading News Khatabook Raises $25 Mn In Series A From GGV Capital, RTP Ventures Amo… By Shanthi S 01 Oct’19 2 min read WhatsappFacebookTwitterLinkedin Mail WhatsappFacebookTwitterLinkedin Mail
Amazon had invested over INR 9K Cr in India last year
The company has also invested INR 2,800 Cr in India this year
The company had also launched its largest-owned office in India this year