Paytm Cloud Technologies, a subsidiary of One97 Communications, has announced a $1 million investment in Seven Technology LLC, the Delaware-based parent company of Brazilian embedded finance startup Dinie. The deal will provide Paytm with a 25% stake in Seven Technology and is expected to be completed within 45 days. This move aligns with Paytm’s strategy to expand its merchant payments and financial services model to international markets.
Strengthening Presence in Brazil’s Digital Finance Market
Dinie offers digital financial services to micro, small, and medium enterprises (MSMEs) through ecommerce platforms in Brazil. Paytm aims to leverage this partnership to gain insights into Brazil’s fintech landscape.
Brazil’s instant payment system, Pix, which was launched by the Central Bank of Brazil in 2020, has revolutionized digital payments in the country. Similar to India’s Unified Payments Interface (UPI), Pix facilitates real-time transactions and is projected to handle 50% of Brazil’s ecommerce transactions by 2027, according to Worldpay’s Global Payments Report 2024.
“This investment will help us better understand the merchants’ business landscape and opportunities in the Brazilian market,” Paytm noted in its regulatory filing.
Paytm’s Global Expansion Strategy
The investment is part of Paytm’s broader push to expand its footprint in international markets. The fintech company has subsidiaries in the United Arab Emirates, Saudi Arabia, and Singapore. Each subsidiary is set to receive an initial investment of up to ₹20 crore ($2.4 million) to fuel growth.
The company’s international strategy mirrors efforts by other Indian fintech firms like Razorpay and NPCI. Razorpay has expanded operations to Malaysia, the Middle East, and plans to enter Singapore soon. Similarly, NPCI has driven global UPI adoption in countries like Bhutan, France, Mauritius, Nepal, and Sri Lanka.
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India’s Fintech Goes Global
Indian fintech companies are increasingly exploring global markets to scale their operations. For example, M2P Fintech recently secured ₹850 crore in a Series D funding round led by Helios, focusing on expansion in Africa. These initiatives reflect the growing ambition of India’s fintech sector to establish leadership in digital payments and financial services globally.
By investing in Dinie, Paytm aims to replicate its successful India-focused fintech model, expanding its influence across new markets driven by strong digital payment ecosystems.
