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Paytm IPO will open a day before the fifth day. Know other details including issue price.

Highlights:

  • Paytm has increased the size of its IPO from Rs 16,600 crore to Rs 18,300 crore.
  • As per the upper price band, a minimum investment of Rs 12,900 is required to fill the IPO.
  • The company plans to be listed on the stock market on November 18. The IPO is likely to remain open from November 8 to 10.

Mumbai: The country’s biggest IPO will open after this Diwali. Paytm’s IPO will open on November 8 and close on November 10. Ahead of the IPO, Paytm’s parent company One97 Communications has increased the size of its IPO from Rs 16,600 crore to Rs 18,300 crore. The IPO will bring in a fresh issue of Rs 8,300 crore. The rest of the amount i.e. Rs 10,000 crore will be sold under the offer for sale (OFS). According to the information given in the filing on BSE, the issue price band of the IPO will be Rs 2080-2150.

Under the offer for sale, existing investors including the company’s founder Vijay Sharma, Antfin (Netherlands) Holdings, Alibaba.com, Singapore E-commerce, Eleven Capital V Ltd, SAIF Partners will sell their stake. Sources said that the anchor placement can be done on November 3. Many big investors are eager to invest in Paytm. Many big global investors are also preparing to invest during anchor placements. Another source has also confirmed the IPO launch date and anchor placement date.

how much to invest at least

In this IPO, investors will have to invest in at least 6 stocks. As per the upper price band 2150 fixed for the IPO, a minimum investment of Rs 12,900 is required. After which you can invest in an IPO by multiplying it by 1. About 75 per cent of the total IPO size will be reserved for qualified institutional buyers. While 10 per cent will be for retail investors. While 15 per cent will be reserved for non-institutional investors.

Paytm’s IPO will be the biggest IPO ever in India. Earlier this record was in the name of Coal India. Coal India raised Rs 15,000 crore through IPO about a decade ago. It is noteworthy that Vijay Shekhar Sharma started Paytm in the year 2000. Earlier, the company used to provide value-added services. Which later came to be known as an online mobile payment firm.

Pre-IPO share plan may get canceled

On the other hand, Paytm Pre-IPO share sale plan may get cancelled. The company had decided to raise Rs 2,000 crore through pre-IPO sale before launching the IPO. Sources familiar with the matter say that the company may avoid the pre-IPO plan because of the difference in valuation. According to our colleague Economic Times, a source who spoke on condition of anonymity said that according to advisors, Paytm is currently seeking a valuation of 20 billion. According to unicorn tracker CB Insights, the company was last valued at ₹16 billion.

Who has stake in Paytm?

Paytm founder Vijay Shekhar Sharma and other shareholders will sell their stake through an offer for sale. The company’s main investors include Alibaba and its affiliate Ant Group holding a 38% stake, Elevashi Capital holding a 17.65% stake and Japan’s SoftBank with an 18.73% stake. Vijay Sharma’s stake is around 14.67 per cent. He will no longer be the promoter of the company after the IPO.

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