While Paytm has been a flop since day one, other Indian tech giants whose debuts were red-hot in comparison have also plunged in recent months.įood delivery company Zomato - the first Indian unicorn to go public - is down over 36% from its first day of trading last July.Į-commerce site Nykaa, whose debut late last year made its founder India’s wealthiest self-made female billionaire, is also trading 36% below the highs it saw on listing day. It is not the only Indian internet company that has soured on the stock market this year. The firm’s stock is now trading close to 560 rupees ($8), more than 70% below its offer price, according to data from Refinitiv. Investors, however, appear to disagree - Paytm’s stock crashed 27% on its first day of trading.įour months later, things have only gotten worse. Please consult your investment advisor before investing.Paytm founder Vijay Shekhar Sharma breaks down while giving a speech during his company's IPO listing ceremony at the Bombay Stock Exchange in Mumbai on November 18, 2021. Capital markets investments are subject to rules and regulations. Financial Express Online does not bear any responsibility for their investment advice. (The stock recommendations in this story are by the respective research analysts and brokerage firms. With the DRHP filed, the prices will go further north,” Rajesh Singla, Founder & CEO of pre-IPO consultancy firm Planify India, told Financial Express Online. ![]() ![]() Paytm has had the highest traction in the last 40 Days in the PreIPO market. However, it would be interesting to see what valuations they get on D-Street.Īs per the DRHP of Paytm, SoftBank, Paytm’s second-largest investor, is not offering its shares in its coming IPO, which suggests that Softbank expects that there is still a lot of juice left in Paytm. Doshi added that as per the market buzz, Paytm is eyeing for 25-30 billion dollars valuations for its mega IPO which is likely to hit markets by Diwali 2021 and this is the core reason behind heavy demand of Paytm shares in unlisted market. “After the sub-division of shares from face value to Rs 10 to Re 1, Paytm shares were trading at around Rs 2,400-2,425 per piece, currently, which values Paytm at around 19.5 billion dollars,” Abhay Doshi, Founder,, dealing in Pre-IPO & Unlisted Shares, told Financial Express Online. The shares which were trading at Rs 10,000 per piece, swiftly went up to Rs 27,000 per piece amid IPO buzz. The shares of One97 Communications (Paytm) have been in high demand in the unlisted market since May due to the IPO buzz. In the unlisted market on Friday Paytm shares were trading at Rs 2,400-2,420 per share, according to the people who deal in shares of unlisted companies. IPOs worth Rs 50K cr in next 6 months proposals worth Rs 42,000 cr more await Sebi nod Paytm shares in unlisted market in high demand While Rs 2,000 crore will be used for investing in new business initiatives, acquisitions and strategic partnerships and for general corporate purposes. Paytm has planned to utilise the Rs 4,300 crore worth of net proceeds for growing and strengthening Paytm ecosystem, through acquisition and retention of consumers and merchants and providing them with greater access to technology and financial services. The weighted average of return on net worth stands at 36.9 per cent. There are no listed companies in India that engage in a business similar to Paytm. Singapore E-Commerce Private Ltd holds 7.2 per cent stake. is the largest shareholder for Paytm, holding 29.6 per cent of the pre-offer paid-up equity share capital. ![]() Link Intime India Private will be the registrar to Paytm IPO.Īccording to the draft papers, Antfin (Netherlands) Holding B.V. Morgan Stanley India Company Private Ltd, Goldman Sachs (India) Securities Private Ltd, Axis Capital, ICICI Securities, JP Morgan India Private Ltd, and Citigroup Global Markets India Private Ltd will be joint global coordinators and book running lead managers to the issue. The price band for the Paytm IPO will be determined either at the time of filing the red herring prospectus (RHP) or prior to the IPO opening for the subscription. The public issue will comprise fresh issue of equity shares worth Rs 8,300 crore and an offer-for-sale (OFS) of shares worth Rs 8,300 crore. Paytm, digital payments and financial services firm has filed a draft red herring prospectus (DRHP) with market regulator SEBI, to launch Rs 16,600-crore IPO.
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