11.1 C
New York

SoftBank cuts stake in Paytm to under 3%

Published:

  • News
  • SoftBank cuts stake in Paytm to under 3%

TNN / Updated: Mar 1, 2024, 02:24 IST

AA

Text Size

  • Small
  • Medium
  • Large

SoftBank has cut another 2.1% stake in Paytm, reducing its shareholding in the fintech firm to 2.8%, the company said in a recent stock exchange filing. The Japanese investment behemoth which bets heavily on tech firms had invested over $1 billion into Paytm and held about 18% stake in the Noida-based company at the time of its initial public offering in 2021.

SoftBank cuts stake in Paytm to under 3%

MUMBAI:

SoftBank

has cut another 2.1%

stake

in Paytm, reducing its

shareholding

in the

fintech

firm to

2.8%

, the company said in a recent stock exchange filing. The Japanese

investment

behemoth which bets heavily on tech firms had invested over $1 billion into

Paytm

and held about 18% stake in the Noida-based company at the time of its initial public offering in 2021.

Even as SoftBank has been offloading its stake in the firm, the developments come at a time when Paytm Payments Bank has come under regulatory scrutiny due to persistent non-compliance. Paytm founder and CEO Vijay Shekhar Sharma is the largest shareholder in PPBL with a 51% stake while Paytm parent One97 Communications holds 49% stake in the banking entity whose operations have been restricted by

RBI

. The central bank has directed PPBL to stop accepting money in any customer account – including wallets and other prepaid instruments such as FASTags, NCMC (national common mobility cards used in metro and other transport) or any other instruments – after March 15 following lapses in complying with the regulatory framework on KYC and relationship with parent.
Share price of Paytm closed at Rs 405 apiece on the

BSE

on Thursday, down 0.2%.

FOLLOW US ON SOCIAL MEDIA

Visual Stories

Hot Picks

TOP TRENDING

Related articles

Recent articles

spot_img