Paytm IPO offers a pricey exposure to rapid financial digitisation
Synopsis
Considering Paytm’s dominant position, wide reach, scalability, and intense competition, high promotional expenses, net loss, negative operating cash flow, and steep valuation, the country’s biggest IPO is more suitable for long-term investors with high risk appetite.
ET Intelligence Group: Issue date: November 8-10, 2021 Issue price: Rs 2,080- 2,150 Issue size: Rs 18,300 crore Implied market cap: Upto Rs 1.4 lakh crore Face Value: Rs 1 Lot size: Six shares One 97 Communications, which provides payment and financial services on the digital platform under the brand Paytm, plans to raise Rs 8,300 crore of fresh equity to expand business and another Rs 10,000 crore as offer for sale. Considering Paytm’s
