Digital payments giant Paytm plans to come out with an initial public offer worth $3 billion later this year, according to sources.
The proposed flotation, if successful, would be the largest such offer beating Coal India’s Rs 15,200 crore-IPO in 2010, which is the country’s largest till date.
The SoftBank and Alibaba-backed company is looking at raising about $3 billion (over Rs 21,700 crore) at a valuation of well over $25 billion, the sources privy to the development said. The fintech major’s board is expected to meet on Friday to discuss the IPO proposal, they added.
Paytm declined to comment on the matter.
A number of young businesses in the country, including Policybazaar, Nykaa, Delhivery and MobiKwik, are also reportedly firming up plans to launch their IPOs.
In April, food delivery platform Zomato filed preliminary papers for an IPO with capital market regulator Sebi to raise Rs 8,250 crore.
Paytm — which is locked in an intense competition with Google Pay, Walmart-owned PhonePe and others in the digital payments space in India — had raised $1 billion (over Rs 7,000 crore) in November 2019 from US-based asset management firm T Rowe Price and existing investors, including SoftBank and Alibaba.
At that time, the company was valued at $16 billion.
The Noida-based firm, which had an astonishing rise after demonetisation in 2016, is betting on financial services, commerce and payments as three key focus areas.
Fintech firms have continued to witness a strong growth in the Indian market over the past few years, especially amid the pandemic, as people turned to digital platforms.
Pharma floats
Five pharma and life sciences companies have firmed up plans to tap the equity markets through IPOs over the next few months, according to investment bankers. These are Glenmark Lifesciences, bulk drugs firm Supriya Lifesciences, drug formulations firm Windlass Biotech, Bain Capital-backed Emcure Pharma and CX Partners-funded Veeda Clinical Research. PTI
Amidst the raging second wave of the Covid-19 pandemic and with many fearing a third wave, the healthcare sector is in the limelight for the second consecutive year as several pharma and life sciences companies are lined up to tap the equity markets through IPOs over the next few months, according to investment bankers.
According to investment-bankers, they are planning to mop up over Rs 7,000 crore in primary share sales.
While the IPO street was the busiest in FY'21 with the best ever performance after the pandemic scare had ebbed, pharma stocks have been one of the best performers throughout the year when Sensex and Nifty scaled new highs.
