One97(Paytm) sold their ticketing platform to Zomato; why can’t they build it themselves?

One97 (Paytm): reported a net profit of Rs 928.30 crore in the July-Sept quarter. The sale of its ticketing platform to Zomato resulted in a one-time income of Rs 1,345 crore — Groww Digest.

One97 (Paytm) sold its ticketing platform to Zomato due to various strategic and business reasons. Here are some possible explanations:

Reasons for the Sale:

1. Focus on Core Business: Paytm might have decided to focus on its core payments and financial services business, divesting non-core assets.
2. Competition and Market Share: Zomato’s strong presence in the food delivery market and expanding into ticketing could have made it challenging for Paytm to compete.
3. Monetization and Revenue: Selling the ticketing platform could provide Paytm with immediate revenue and help monetize a non-core asset.
4. Partnership and Collaboration: The sale might pave the way for potential partnerships between Paytm and Zomato, enhancing user experiences.
5. Resource Optimization: Paytm could allocate resources more efficiently by concentrating on its core business.

Why Paytm Couldn’t Build a Successful Ticketing Platform: