Paytm buys Cube26

One97 Communications Ltd which owns payments app Paytm announced the acquisition of New Delhi based technology startup Cube26. The acquisition will help the company upgrade user experience over its mobile platform.

Cube26 develops customized Android OS for original equipment manufacturers, and it is currently building a games and apps store by connecting India-based developers directly with smartphone users. The app store also helps developers monetize their content.

Cube26 is backed by Tiger Global Management and Flipkart. It had raised $7.7 million from both investors in 2015. The start-up was founded in 2012. The acquisition comes just days after Paytm claimed to have 120 million monthly active users on its in-app messaging feature called ‘Paytm Inbox’. The company also said that it will focus more on regional content for making its app more popular across small cities and towns.

Paytm had also made two acquisitions in recent months. In December 2017, Paytm acquired Nearbuy and Little, two platforms that focus on local restaurants and commercial establishments. Paytm later merged both entities and made an undisclosed investment into the resultant entity.