Paytm, the fintech firm has considered entering the Brazilian market with a whopping 1M dollar of investment, by buying stakes in Dinie, a Brazilian Finance company.
Paytm cloud technologies at its meeting held on February 3rd 2025 approved the investment of USD 1 million (8.70 crores in INR). On account of this, Paytm further disclosed that these types of investments will help the firm to understand business and the merchant’s in the Brazilian environment while discovering the opportunities.
The main motive behind the investment is expansion of the company. Paytm has been looking for expansion opportunities in a market whose digital finance systems are similar to India’s.
The Deal Between Paytm and Dinie
The deal is being executed by Paytm’s subsidiary company Paytm Cloud Technologies Limited. Reportedly the deal will be made in cash and the completion is expected within 45 business days.
The investment will gain Paytm 25% stakes in Seven Technology LLC, the parent company of Dinie.
Reasons Behind Choosing Brazil
The fintech firm Paytm has decided to invest in a Brazilian finance startup due to a big similarity between India and Brazil’s digital finance ecosystems.
In India, UPI (unified payments interface) has transformed the ways of digital or online transactions in the country facilitating fast money transfers seamlessly. Likewise, the Central Bank of Brazil launched an instant payment system named “PIX" in the year 2020 has been widely adopted by the people of Brazil to make quick digital payments.
In addition, Pix is also estimated to account for 50% of the ecommerce transaction between businesses and consumers by the end of the year 2027 which grabbed the interest of fintech firm Paytm.
The company’s strategy is to expand its merchant payment services and financial services in the international market.
Startup “Dinie”
The parent company Seven Technology LLC has launched Dinie. It is Brazil’s ( Application Programming Interface) API- first embedded startup. Dinie facilitates ecommerce/businesses to provide digital financial services micro, small and medium size enterprise or businesses.
Paytm Going Global
The fintech company has been putting efforts to flourish its financial services in the international market.
Source- paytm
Razorpay,the payment processing firm of Paytm, is being widely expanded internationally. It is used in Malaysia, the Middle East and will soon be available in Singapore. Razorpay’s revenue from the international market accounts for about 10% of the total revenue.
UPI for International Payments
Paytm has enabled Indian travellers to pay for purchased goods and services through UPI. travelers can use Paytm app to make quick and cashless transactions where UPI is accepted such as in UAE, Singapore, France, Mauritius, Nepal and Bhutan.
(National Payment Corporation of India) NPCI enabled UPI system has been recognised widely domestically and intentionally, appreciating its feature of allowing multiple bank accounts in a single mobile app.
Source- Gizbot
India - Brazil Startup Bridge
The Startup India program promotes the relationship between India and Brazil. The india-Brazil startup bridge encourages and fosters deeper collaborations between startups of both the countries.
It also encourages entrepreneurs, investors, incubators, corporations to expand their business and services by helping each other with resources to get into other international markets
With inputs from agencies
Image Source: Multiple agencies
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Chirag Sharma is a news writer dedicated to providing accurate and concise news and stories that keep readers informed. Enthusiastic to share facts and uncover meaningful stories. Also a writer by hobby and loves to listen to music while penning down the words.
