Paytm Money, a wholly-owned subsidiary of One97 Communications, is likely to appoint Rakesh Singh, former CEO of wealth management firm Fisdom’s broking division, as the new CEO after Varun Sridhar resigned from the role, according to a couple of sources.
The wealth management app of mobile payments firm Paytm has not held a board meeting to officially appoint Singh and the board approval is likely to take a week, a second source told Moneycontrol.
“When massive changes are happening in an organisation there is likely to be big executive rejigs. Sridhar is likely to continue with the Paytm and there are discussions to rope him to Paytm insurance or the main payments division,” one of the sources added.
Sridhar has been the Paytm Money CEO for almost four years. The company had reported Rs 42 crore net profit while its revenue almost doubled to Rs 131 crore during FY23, according to the filings with the registrar of companies. The company’s major source of income is from the brokerage fees it gets from customers.
Paytm did not respond to Moneycontrol queries on Sridhar’s resignation or Singh’s appointment. The Economic Times was the first to report the development.
Singh is a veteran in the banking industry with over 18 years of experience in the banking industry and has been with Fisdom for over five years.
Three months ago, the Reserve Bank of India imposed crippling restrictions on Paytm Payments Bank Limited, an associate company of Paytm, which impacted the company's wallet and UPI operations. This is likely to have impacted Paytm Money as well. The wealth management platform sells mutual funds, Systematic Investment Plan (SIP) and trading platform among other services.
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