Private Equity

Private Equity Fund Investments

Paytm's Rs.18,300-Cr IPO oversubscribed nearly 2 times

Times of India  

The INR 18,300 crore IPO of One97 Communications, the parent company of Financial Services platform Paytm, was oversubscribed 1.89 times, receiving bids for 9.13 crore equity shares against an offer size of 4.83 crore shares. The portion set aside for retail investors was subscribed 1.66 times, while the reserved portion of non-institutional investors was subscribed 24%. Qualified Institutional Buyers put in bids 2.79 times the portion set aside for them. Around 99% of the IPO's institutional demand came from foreign investors who bid for 7.2 crore shares. Large domestic investors such as insurance companies and mutual funds barely participated in the offer. Domestic mutual funds cumulatively bid for only 348,828 shares of the 48.4 million on offer to investors, while HNIs bid for only 31,53,438 shares of the 1,31,97,115 on offer. Paytm's shares are likely to be priced at the higher end of its offered price range of INR 2,080-2,150, which would value the company at around $20 billion. Paytm had raised INR 8,235 crore from anchor investors, with the anchor round oversubscribed 10 times.