Paytm IPO opens on Nov 8, price band at Rs 2,080 to Rs 2,150
Bengaluru, Oct 28 :One97 Communications Ltd, which operates Paytm, has set a price band of Rs 2,080 to Rs 2,150 for its Initial Public Offering (IPO), at a valuation of 20 billion dollar, the company said in a regulatory filing on Wednesday.
The IPO will open on 8 November and will close on 10 November, Paytm said.
Investment banks, including Morgan Stanley, Goldman Sachs Group, Citigroup, and ICICI Securities, are managing the share sale.
Paytm’s IPO will be the largest market debut in India yet. It increased its IPO issue size from the earlier Rs 16,600 crore due to increased investor demand.
This IPO is likely to be higher than the Coal India public issue that had raised Rs 15,475 crore in 2010.
The proceeds from the IPO will be used to strengthen Paytm’s payment ecosystem and for new business initiatives and acquisitions.
Paytm is positioning itself as a multi-platform payments service provider through e-wallets, the Unified Payments Interface (UPI) platform, postpaid, credit cards, point-of-sale terminals, and all-in-one QR codes.
Paytm is India’s leading digital payments and financial services platform for consumers and merchants.
As of March 31, 2021, Paytm served 33.3-crore consumers and 21 million merchants.
Last week, Paytm, which was founded by Vijay Shekhar Sharma, got the nod from market regulator SEBI for its IPO.
Paytm has expanded beyond digital payments into newer categories of lending, gaming, wealth management, financial services, and digital commerce.
In 2009, the company launched the first digital mobile payment platform, “Paytm App” to offer cashless payment services to customers.
It is now India’s largest payment platform and the most valuable payments brand with a total brand value of US$6.3 billion as per Kantar BrandZ India 2020 Report.
The app enables customers to do cashless transactions at stores, top-up mobile phones, online money transfers, pay bills, access digital banking services, purchase tickets, play games online, buy insurance, make investments, and more.
However, merchants can use the platform for advertising, online payment solutions, offering products to customers, and loyalty solutions.