Paytm’s parent company, One97 Communications, has enlisted the services of some of the industry’s most powerful investment bankers for its anticipated initial public offering (IPO). JP Morgan, Morgan Stanley, Goldman Sachs, and ICICI Securities are all expected to lead the offering, which is expected to be the financial sector’s largest ever.
Paytm has yet to comment on the investment bankers’ hire.
According to a storey in The Economic Times, the fintech behemoth plans to publish its draught red herring prospectus as early as next month. Paytm announced its IPO ambitions after reaching out to workers and offering them the opportunity to tender their shares in the upcoming offering as part of an offer for sale.
Earlier this month, Paytm’s board of directors approved an in-principle clearance to raise approximately Rs 22,000 crore through an initial public offering. The company is targeting an enterprise value of more than Rs 2 lakh crore in its first public offering.
Among Paytm’s investors are Alibaba’s Ant Group (29.71%), Softbank Vision Fund (19.63%), and Saif Partners (18.56 per cent). Vijay Shekhar Sharma owns 14.67% of the company. AGH Holdings, T Rowe Price, and Discovery Capital, all of which are subsidiaries of Berkshire Hathaway, also own shares in the company.
Paytm has been growing income and monetising its services over the last year, led by founder and CEO Vijay Shekhar Sharma. Beyond digital payments, the company has grown into banking, credit cards, financial services, wealth management, and digital wallets.
Image from PayTM website
Smrutirekha Bhoi