Paytm has notified the BSE and NSE in an official filing that it and its affiliated company, Paytm Payments Bank Limited (PPBL), have strengthened their approach to PPBL's independent operations by implementing new procedures. Paytm and PPBL have mutually decided to dissolve a number of inter-company agreements with Paytm and its group companies as part of this effort to decrease dependence.
In addition, PPBL's shareholders have decided to streamline the Shareholders Agreement (SHA) in order to support the company's governance without regard to its owners.
On March 1, the One 97 Communications Ltd. Board authorized the revision to the SHA and the termination of the agreements. Paytm has previously said that it will form new alliances with banks and take steps to ensure that its users and merchants receive smooth services.
The potential financial effect was mentioned by the business when it informed stock markets on February 1.
The document also made it clear that One 97 Communications Limited will carry on providing its services, which include the Paytm app, Paytm QR, Paytm soundbox, and Paytm Card devices.
According to the filing, Paytm is dedicated to maintaining the greatest standards of technologically advanced solutions and industry-leading innovation for its users.
One 97 Communications Ltd. (OCL) had announced earlier on February 26 that the board of directors of its affiliate bank, Paytm Payments Bank Limited, had been reorganized. It named retired IAS officer Debendranath Sarangi, former Bank of Baroda executive director Ashok Kumar Garg, former chairman of the Central Bank of India Srinivasan Sridhar, and retired IAS officer Rajni Sekhri Sibal.
In a separate filing with the exchange, the company stated that, in order to facilitate this transfer, founder Vijay Shekhar Sharma had also resigned from the Paytm Payments Bank board.
