Paytm files DRHP for ₹16,000cr IPO
July 19, 2021
Paytm’s parent One97 Communications has filed its draft distraction outline (DRHP) with India’s markets regulator SEBI to raise ₹16,600 crore through an initial public offering, which would make this the country’s greatest IPO, ever. Coming closely on the heels of Zomato’s effective IPO, the Paytm IPO, when done, will effortlessly be the high point of 2021, as far as public fundraising goes.
For investors in India, particularly retail financial backers, it’s the beginning of new paradigm of investing into digital firms that guarantee high growth and little profits within a reasonable time-frame. It is interesting that the greatest IPO crown till now was held by a public sector firm, Coal India Limited, whose ₹15,200 IPO in 2010 had been sold on the assurance of predictable dividends, profits, and a monopoly market. Paytm is anything but that.
As indicated by the organization’s DRHP, ₹8,300 crore will be primary share sales or new issuance, while ₹8,300 crore will be an offer for sale, where existing investors will sell their shares. The face value of each share is Re 1.