2024-05-08 20:55:03
New Delhi: Shares of One 97 Communications Ltd, the parent company of Paytm, the country’s largest digital payment company, reached an all-time low today. Touching the lower circuit for the third consecutive day, its price remained at Rs 317.45. Shares of this Noida-based company had touched the lower circuit of five percent on Monday and Tuesday also. In this way, investors who invested money in the company’s IPO have suffered a loss of Rs 1832.55 on each share. With this the market cap of the company has come down to Rs 20,180.46 crore. Aditya Birla Finance, one of the important lending partners of the company, has encashed the bank guarantee. Paytm had given this guarantee in exchange for the repayment default of customers. Experts say that Piramal Finance and Clix Capital have also withdrawn from partnership with Paytm. Recently RBI had banned the services of Paytm Payments Bank. After this, MD and CEO of Payment Bank Surinder Chawla had resigned. On Saturday, the company had announced a major reshuffle in the leadership structure. Varun Sridhar, CEO of the company’s wealth management platform Paytm Money, is being replaced by Rakesh Singh. Rakesh Singh has been the head of broking services of PayU’s investment company Fisdom. Paytm’s Rs 18,300 crore IPO came in 2021. Its issue price was Rs 2,150.
Investors again disappointed on Paytm, upper circuit imposed, know how far the price can go
how much loss
Paytm’s IPO was open for subscription on November 8, 2021. A large number of retail investors had participated. But this share could never reach anywhere near its issue price. The company’s shares were listed with a 9.30% discount and then closed with a decline of more than 27%. This means that investors expecting strong earnings on listing were deeply disappointed. But even after that the stock continued to fall. Its 52 week high is Rs 998.30. It had reached this level on October 20 last year. Investors who acquired stocks in the IPO have suffered a loss of Rs 1,815.85 on each share.