Source: Deccan Herald
One97 Communications Ltd shares, the parent of Paytm, fell sharply in early trade on Tuesday after reports that China’s Ant Group planned to sell a 4% stake in the digital payments firm.
The stock fell as much as 4.99% to touch a day’s low of ₹823.10 on the Bombay Stock Exchange (BSE). But Paytm shares had somewhat recovered by 9:37 AM, being down 2.01% at ₹848.95 each. In contrast, the BSE Sensex was down 0.66% at at 81,888.09.
High Volume Trading
The selloff led to heavy trading across exchanges. About 27 million shares were traded on the BSE during the market open, while the average price was ₹837. Total BSE traded shares: 29.7 Million BSE value of total traded shares: ₹2,456.24 Cr. On the NSE, 13.5 million shares were traded on the counter so far
The drop came after reports the Ant Group will offload the shares at ₹809.75 per share for a combined ₹2,000+ crore ($242 million). The identity of the buyer or buyers has not been disclosed.
Q4 Earnings Performance
Paytm Q4FY25 results: Paytm recently declared its Q4FY25 financial results. The firm reported a consolidated net loss of ₹540 crore in the quarter ended 31 March, down from ₹550 crore in the same quarter of the previous fiscal.
However, on a sequential basis, losses expanded from ₹208 crore in the December quarter, largely because of one-time cost related to employee stock options.
About Paytm
Paytm is one of India’s largest digital payments and commerce platforms. Businesses of all shapes and sizes began using Paytm to accept large and small amounts of money either through Paytm.com or by adding the Paytm link on their own website and mobile app.
It also offers banking services through Paytm Payments Bank, such as savings accounts and small-ticket loans, helping to expand digital finance in the nation.
Outlook
Analysts, however, are watching Paytm’s performance closely in light of ongoing shifts among its shareholders and its finances, even as the market has not reacted favorably in the short term. The company’s growth in India’s thriving digital ecosystem is an area of significant investor interest.
