One97 Communications, the parent firm of financial platform Paytm, has filed draft documents for an initial public offering (IPO) to earn Rs 16,600 crore. A fresh issue of equity shares worth Rs 8,300 crore and an offer-for-sale (OFS) of shares worth Rs 8,300 crore would be part of the public offering.
The Softbank-backed firm is trying to collect Rs 16,600 crore through its first public offering. The company would issue new shares with a face value of Rs 1 each worth Rs 8,300 crore, while existing owners will sell their holding for Rs 8,300 crore.
In the DRHP, the corporation stated that it may allocate up to 60% of the QIB portion to anchor investors. Non-institutional investors (NIIs) will receive at least 15% of the net offer, while retail individuals would receive the remaining 10%. Paytm has also set aside a portion of the net offer for its eligible employees.
The issue's joint global coordinators and book running lead managers will be Morgan Stanley India Company Private Ltd, Goldman Sachs (India) Securities Private Ltd, Axis Capital, ICICI Securities, JP Morgan India Private Ltd, and Citigroup Global Markets India Private Ltd.
Paytm shares in the unlisted market in high demand
Paytm shares were selling between Rs 2,400-2,420 per share in the unlisted market on Friday, according to people who deal in unlisted company shares. Due to the IPO excitement, One97 Communications (Paytm) shares have been in great demand on the unlisted market since May. During the IPO frenzy, shares that were trading at Rs 10,000 per piece quickly rose to Rs 27,000 per piece.