Paytm Signs Up Over 100 Institutional Investors for IPO

Ant Group-backed fintech agency Paytm stated it has allotted shares price Rs. 8235 crore to greater than 100 institutional buyers, together with the federal government of Singapore, forward of what’s anticipated to be India’s largest inventory market itemizing.

Paytm’s supply of as much as Rs. 18,300 crore, which was elevated final month from Rs. 16,600 crore, garnered curiosity from 122 institutional buyers who purchased greater than 38.3 million shares for Rs. 2,150 apiece, in line with a regulatory doc dated November 3.

BlackRock Global Funds, Canada Pension Plan Investment Board and Abu Dhabi Investment Authority have been among the many buyers.

Launched a decade in the past as a platform for cellular recharging, Paytm grew rapidly after ride-hailing agency Uber listed it as a fast cost possibility. Its use swelled additional in 2016 when a ban on high-value forex financial institution notes in India boosted digital funds.

Paytm has since branched out into companies together with insurance coverage and gold gross sales, film and flight ticketing, and financial institution deposits and remittances.

The firm’s providing will open on Monday and prime investor Ant Financial, with a 27.9 p.c stake in Paytm, plans to promote shares price Rs. 4,704 crore.

Several firms together with Paytm have tapped capital markets this yr in a fund-raising frenzy on the again of report highs hit by the Indian inventory market, which has outperformed Asian friends to date this yr.

In India, 157 firms together with TPG-backed Nykaa, Oyo Hotels and Rooms and on-line insurance coverage aggregator Policybazaar have raised $17.22 billion (roughly Rs. 1,28,181 crore) by way of IPOs this yr as of October 31, in contrast with $8.54 billion (roughly Rs. 63,569 crore) raised by 49 firms in the identical interval final yr, in line with Refinitiv knowledge.

Paytm’s IPO is prone to be the most important within the nation’s company historical past, breaking a report held by Coal India Ltd, which raised Rs. 15,000 crore greater than a decade earlier.

© Thomson Reuters 2021