Paytm files draft paper for ₹16,600 crore IPO: Opening date, details here
Digital payment startup Paytm has filed a draft prospectus for its initial public offering of ₹16,600 crore on Friday the day on which Zomato's IPO closes. As per the draft prospectus, JPMorgan Chase, Morgan Stanley, ICICI Securities, Goldman Sachs, Axis Capital, Citi and HDFC Bank are among the lead book-running managers for Paytm IPO, Reuters reported
Paytm IPO comprises fresh issue of up to ₹8,300 crore, offer for sale of up to ₹8,300 crore.
One97 Communications Ltd, the owner of Paytm, which filed the draft on Friday, said the proceeds of the IPO will be used to "strengthen its payment ecosystem and for new business initiatives and acquisitions".
On Monday, Paytm received the approval of its shareholders to raise capital through IPO, which is billed to be the country's biggest public offer of ₹16,000.
"Shareholders have approved all the proposals at the extraordinary general meeting. The shareholders have approved the proposal to raise capital and the fresh issue of shares of up to ₹12,000 crore during the IPO. The secondary raise will bring the total to ₹16,600 crore," news agency PTI reported, citing a source.
Reports said till date Coal India had come up with the biggest IPO issue of around ₹15,500 crore which was listed in the last quarter of 2010. Zomato's IPO of ₹8,375 crore was the biggest IPO of this year so far.
Paytm shareholders include Alibaba's Ant Group (29.71 per cent), Softbank Vision Fund (19.63 per cent), SAIF Partners (18.56 per cent) and Vijay Shekhar Sharma (14.67 per cent). AGH Holding, T Rowe Price, Discovery Capital and Berkshire Hathaway are other shareholders in the company.
Zomato, Paytm IPO gamechanger
Zomato IPO was opened on July 14 and on the second day it was oversubscribed 4.8 times, marking a visible shift in consumer behaviour, as a new set of investors debuted in the capital market through Zomato IPO. Paytm Money offered to book of Zomato shares and said the average Zomato IPO investor was a year younger than what this platform has seen. "The average Zomato IPO investor was a year younger than applicants for previous IPOs on Paytm Money. Average investment in Zomato IPO on Day 1 was 20 per cent higher than average investment in previous IPOs on Paytm Money," Paytm Money said.
Nykaa E-Retail Pvt and Policybazaar Insurance Web Aggregator Pvt Ltd are also considering going public.
(With agency inputs)