India’s fintech giant Paytm to file draft prospectus for $2.3bn IPO next week



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India’s fintech giant Paytm to file draft prospectus for $2.3bn IPO next week

The Noida, Delhi-headquartered India’s financial technology giant Paytm parent, One97 Communications Ltd., has been set to file a draft prospectus for a domestic initial offering as early as July 12, at least two sources familiar with the proceedings had unveiled on Monday.

On top of that, a press agency report had also quoted one of the unnamed sources as saying late in the day that the slated initial public offering of One97 Communications Ltd. would seek to raise as many as $2.3 billion which in effect would mark up the third-largest public market floatation in US Dollar terms in India behind Reliance Power in 2008 and state-backed miner Coal India in 2010, proffering the fintech giant a valuation between $24 billion to $25 billion with an option to float another 1 per cent of initial offerings at a later stage if required.

Aside from that, the sources had also added on condition of anonymity that the Paytm-parent One97 Communications Ltd. would likely to file the prospectus shortly after an extraordinary Paytm shareholders’ meet scheduled to take place in Delhi on July 12.

However, a spokesman for Paytm had declined to comment over the proceedings while being asked over the subject-matter.

Paytm-parent One97 Communications to file IPO prospectus on July 12

On prior occasions, media headlines had unveiled that the Alibaba- and SoftBank-backed Paytm had been looking to shareholders’ approval to float up to $1.61 billion worth of new stocks at an extraordinary general shareholders’ meeting.

In tandem, sources had also added that Paytm, the Indian financial technology megalith having had a revenue of $460 million as of December 31, 2020, had hired leading US lenders such as JPMorgan Chase & Co, Morgan Stanley and Goldman Sachs alongside ICICI Securities, Axis Capital and HDFC Bank to oversee its IPO proceedings.