Paytm IPO Latest News: Rs 21800 cr! Biggest ever? Know about this public issue, size and LAUNCH TIME

Digital payments service provider Paytm is planning to raise around Rs 21,800 cr (USD3 billion) via the Initial Public Offering (IPO) route later this year according to a report by ET. The report has cited its sources. This public issue could be the largest IPO debut ever in the country surpassing Coal India Ltd’s offering, which raised more than Rs 15,000 crore in 2010, this report claimed. 

Paytm, formally called One97 Communications Pvt. Ltd, is targeting a valuation of around USD 25 billion to USD 30 billion from the IPO. The One97 board plans to meet this Friday to formally approve the Paytm IPO, said the person.

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One97 Communications Limited that owns the brand Paytm is founded by Vijay Shekhar Sharma and is headquartered in Noida. Its investors include Softbank, Ant Financial, AGH Holdings, SAIF Partners, Berkshire Hathaway, T Rowe Price, and Discovery Capital, the company’s website says. 

The report mentions a likely listing in November and the process is expected to begin in late June or early July, this report said.  

Though Paytm declined to comment in response to emailed questions sent by ET, it said in its reports.

Banks shortlisted to run the Paytm IPO include Morgan Stanley, Citigroup Inc and JPMorgan Chase & Co, with Morgan Stanley the leading contender, the report said quoting this person who is in the know of the development.  

The public market debut will include a mix of new and existing shares to meet regulatory obligations in India. The country’s regulations require that 10 per cent of shares are floated within two years and 25 per cent within five years, the report said. 

Paytm has over 20 million merchant partners and its users make 1.4 billion monthly transactions, according to numbers in a recent company blog post.