Paytm IPO: Offer size increased to Rs 18,300 crore as Chinese investor plans to sell more stake

New Delhi: Indian digital payments leader Paytm has increased the size of its initial public offering from Rs 166 billion to Rs 183 billion ($2.44 billion), as existing shareholders look to sell more stake before listing the country’s largest stock exchange. are.

Paytm’s IPO was likely to target a price band of Rs 2,080-2,150 per share for a potential valuation of around $20 billion, a source directly aware of the matter told Reuters.

The company increased the size of its IPO as it received increased demand from investors, said the source, who did not wish to be named as the information was not public.
Paytm did not immediately respond to a Reuters request for comment.

Several companies, including Paytm, have jumped into India’s capital markets as investors ride the wave of liquidity that has taken domestic markets to record highs. Food delivery firm Zomato, which also counts China’s Ant Group as a shareholder, is up 77% since its listing in July.

Paytm’s offering will open on November 8 and will see top investor Ant Financial selling shares worth Rs 47.04 billion, or nearly half of the sale component. Ant currently holds 183.3 million shares or 27.9% stake in Paytm.

While Paytm did not increase the size of its new issue component, which is still at Rs 83 billion, it increased the offer for sale part from Rs 83 billion to Rs 100 billion. Read also: Maruti Suzuki unveils electric vehicle plans, check when the automaker is planning to launch an electric car

The IPO is likely to be the biggest in India’s corporate history, breaking the record held by Coal India, which raised Rs 150 billion more than it did a decade ago. Read also: Now, read deleted WhatsApp messages: Check out the steps to catch the sender off guard

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