India's largest IPO initial public offering to date is around the corner with financial services firm, One 97 Communications parent company of Paytm getting the SEBI's approval, top sources privy to the development confirmed to BusinessToday. The issue of Rs 16,600 crore $2.2 billion comprises a fresh issue of equity shares of the face value of Rs 1 each, aggregating to Rs 8,300 crore and the offer for sale by existing shareholders, aggregating to Rs 8,300 crore.
The IPO, slated to happen during the festive season later this year, will put some traditional energy and fuel companies like Reliance Power Rs 15,475 crore IPO and Coal India Rs 11,700 crore IPO behind it, essentially signalling a transition from oil to data.
Paytm will debut on the stock exchanges at a valuation of nearly $30 billion, almost double its earlier $16 billion valuations.
Almost all the key shareholders including founder Vijay Shekhar Sharma, Softbank, China's Ant Financial Group, Alibaba, SAIF partners are reducing their stakes whereas business magnate Ratan Tata's fund and other minority stakeholders may exit the company fully. The company is also looking to raise Rs 2000 crore nearly $250 million in a pre-IPO round from various investors.
Also read: Paytm IPO: Foreign investors valuing co at $20 - 22 bn.