India, Nov. 5 -- Fintech major Paytm's parent One97 Communications Ltd's board yesterday approved a proposal to invest up to INR 2,250 Cr via a right issue in its payments arm, Paytm Payments Services Ltd (PPSL).

In a filing with the exchanges, Paytm said that the capital will enable PPSL to support its working requirements and bolster its net worth. The rights issue, which is still subject to necessary approvals, is expected to be completed by December 31.

"The investment will be used to strengthen PPSL's net worth, pay for acquisition of offline merchant payment business, fund working capital needs, and support its continued leadership in the merchant payments business," said Paytm.

It is pertinent to note that PPSL received an in-pr...