Paytm's Rs 18,300 crore IPO, estimated to become the country's largest ever public issue, opened today.
The IPO comprises fresh issuance of equity shares worth Rs 8,300 crore and Rs 10,000 crore from an offer for sale (OFS) by existing shareholders. The company has fixed a price band of Rs 2,080-2,150 apiece, implying a valuation of around Rs 1.48 lakh crore.
The Rs 18,300-crore offer, if successful, will be the biggest in the country after Coal India's IPO in 2010, wherein the state-owned company had garnered Rs 15,200 crore.
"The biggest merit for Paytm's IPO would be that they have so much more diversified regulatory access under one roof. This focus on diversification means that none of their particular business books has depth, unlike other major players who focus more on specialising," Nikhil Kamath, co-founder of True Beacon and Zerodha, said.
On Wednesday, Paytm raised Rs 8,235 crore from anchor investors.
The anchor investor round saw participation from Blackrock, CPPIB, Birla MF, GIC and other blue-chip funds leading to 10 times oversubscription of the shares, as per a stock exchange filing. Blackrock invested Rs 1,045 crore, Canada Pension Plan Investment Board Rs 938 crore and GIC Rs 533 crore. The round saw participation from pension funds, superannuation funds as well as sovereign wealth funds like Government of Singapore, CPPIB, ADIA, APG, City of New York, Texas Teachers Retirement, NPS Japan, University of Texas, NTUC Pension out of Singapore, and University of Cambridge. The largest dedicated emerging market investors like Standard Life Aberdeen, UBS and RWC have also invested.
-Inputs from agencies
