Paytm IPO Day 1: Retail Portion Booked 36% Within 1st Hour Of The Offer

• Retail individual investors and non-institutional investors have pitched in during the first hour
• The IPO of One 97 Communications, which runs the digital payments giant will close on November 10th.
• On November 3rd, Paytm raised INR 8,235 Cr ($1.1 Bn) from anchor investors in India’s largest anchor round

The much-awaited mega IPO of Paytm opened today, with retail investors subscribing to 36% or 0.36 times of their earmarked shares within the first hour of the offer.

As of 11.02 a.m, the overall subscription stood at 0.07 times or 7%. Out of the total 4,83,89,422 shares on offer, investors have subscribed to 32,13,432 shares.

Only the retail individual investors and non-institutional investors have pitched in during the first hour.

The retail individual investors (RII) have subscribed to 31,70,496 shares (0.36 times), out of the earmarked 87,98,076 shares.

The non-institutional investors (NII) comprising the corporates and individual investors (other than retail investors) have so far placed bids for 42,936 shares, out of the 1,31,97,115 allocated for them.

Institutional investors are yet to pitch in with their bids. Qualified Institutional Buyers (QIBs) have been offered 2,63,94,231 shares (54% of the overall offer). 

The IPO of One 97 Communications, which runs the digital payments giant will close on November 10th.

The offer includes a fresh issue of INR 8,300 Cr worth of shares and an offer for sale (OFS) of INR 10,000 Cr.

On November 3rd, Paytm raised INR 8,235 Cr ($1.1 Bn) from anchor investors in India’s largest anchor round from investors such as Blackrock, with INR 1,045 Cr investment, CPPIB (INR 938 Cr), Birla MF invested (INR 555 Cr) and GIC (INR 533 Cr)

Global mutual funds — Vanguard, Fidelity and emerging markets dedicated investors – Standard Life Aberdeen, UBS, RWC; and global tech / fintech-focused funds like Sands Capital, Alkeon, Marshall Wace, Viking, Citadel also participated in the anchor round.

The Delhi NCR based fintech company plans to go public at a valuation of $19.5 Bn – $20 Bn. It was valued at $16 Bn when it raised $1 Bn from Ant Financials, SoftBank Vision Fund.

Founded by Sharma in 2000, Paytm began its journey as a value-added service provider. It evolved over the years with different fintech solutions to become an online mobile payments firm.