Paytm, backed by DelicateBank, has filed for an preliminary public providing (IPO) of as much as $2.23 billion (roughly Rs. 16,640 crores), draft papers submitted to the nation’s market regulator confirmed on Friday.

The IPO will embody a problem of latest shares price Rs. 8,300 crores and a suggestion on the market price Rs. 8,300 crores, stated Paytm, which is backed by traders together with Berkshire Hathawa, China’s Ant Group and Japan’s DelicateBank.

The Noida-based firm, which is owned by One97 Communications, stated it could use the IPO proceeds to strengthen its cost ecosystem and for brand spanking new enterprise initiatives and acquisitions.

One97 posted a consolidated web lack of Rs. 1,696 crores for the 12 months ended March 31, decrease than the earlier 12 months’s Rs. 2,842 crores loss, in keeping with the prospectus. Revenue slipped 14.6 % to Rs. 2,802 crores.

Started a decade in the past as a platform for cell recharging, Paytm grew quickly after ride-hailing agency Uber listed it as a fast cost possibility.

Its IPO plans come amid a pandemic-fuelled growth in India’s digital economic system and an intensifying battle for market share with Alphabet’s Google Pay and Facebook-owned WhatsApp Pay.

Adoption of digital funds has risen since India’s 2016 ban on high-value foreign money financial institution notes, serving to Paytm broaden its providers to incorporate insurance coverage and gold gross sales, film and flight ticketing, and financial institution deposits and remittances.

The firm was planning to boost $268 million (roughly Rs. 2,000 crores) in a pre-IPO funding spherical, a supply informed Reuters on Monday.

Several Indian startups have spelt out plans to go public to money in on liquidity introduced in by overseas funds. Just a few of the intently watched ones embody meals supply startup Zomato, Walmart-owned e-commerce large Flipkart, magnificence model Nykaa, and ride-hailing service Ola.

Paytm’s $2.23 billion (roughly Rs. 16,640 crores) increase by way of the IPO would make it amongst India’s largest public listings after state-run miner Coal India in 2010 and Reliance Power in 2008.

JPMorgan Chase, Morgan Stanley, ICICI Securities, Goldman Sachs, Axis Capital, Citi, and HDFC Bank are the reserving working managers for the IPO.

© Thomson Reuters 2021