-
ALSO READ
Paytm may skip pre-IPO share sale to fast-track listing
Paytm's DRHP: User numbers to GMV growth, here're 10 things you can't miss
IPOs: From Paytm to Oyo, complaints are holding up key clearances
Paytm seeks shareholders' nod to create firm for payments business
One97 taps IPO market in new, bigger avatar 11 years after aborted attempt
-
One97 Communications, the parent company of Paytm, has received the Securities and Exchange Board nod for its Rs 16,600 crore initial public offering.
The firm is likely to list in November, said sources aware of the development.
The IPO is touted to be the biggest ever in the country yet, surpassing Rs 15,000 crore raised by government-owned Coal India Ltd in 2013.
The issue comprises a fresh issue of equity shares of face value of Rs 1 each aggregating to Rs 8,300 crore and an Offer For Sale (OFS) by the existing shareholders, aggregating to Rs 8,300 crore. The company also retains the option to undertake a pre-IPO placement of Rs 2,000 crore, subject to relevant approvals. If the pre-IPO placement is completed, the fresh issue size will be reduced to that extent.
According to the Draft Red Herring Prospectus, shareholders Ant Financial, Alibaba, Elevation Capital V, Saif III Mauritius, Svf Panther (Cayman) and Bh International Holdings are all looking to offload some part of their shares through the OFS.
Paytm filed its DRHP with SEBI in July. Sources said not many things have been changed from the initial DRHP.
Paytm is India’s leading digital ecosystem for consumers and merchants. The company’s two-sided (consumer and merchant) ecosystem enables commerce, and provides access to financial services, by leveraging technology to improve the lives of consumers and helps merchants grow their businesses.
Paytm was launched in 2009 as a mobile first digital payments platform to enable cashless payments. The company’s financial services businesses i.e mobile banking, lending, insurance, wealth management services were launched recently between 2019 and 2021 and contribute a small percentage to its revenue.
As on March 31, FY21, its revenue from operations stood at Rs 2,800 crore from 114 mn annual transacting users and had facilitated 7.4 billion transactions including transactions made to merchants via its ecosystem and peer to peer payments.
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
RECOMMENDED FOR YOU