| Thursday, 24 November 2022 |
A weekly newsletter about how finance is getting supercharged by tech in India, and how you can make money work for you. Subscribe here
Good morning [%first_name |Dear Reader%],
A journalist’s work is always rooted in facts. But sometimes, when we talk to sources, we tend to come across what ifs. Like last week, when I was talking to an analyst about Paytm*.
The listed fintech has had a miserable time at the bourses recently. As of Wednesday, its stock was at an all-time low of Rs 450 (US$5.5), and its market capitalisation a little under than Rs 30,000 crore (US$3.5 billion)—lower than the company’s US$4.8 billion valuation in 2016, and far lower than the US$14.5 billion on the day it got listed.
|
|
And there are a couple of important things that happened to Paytm over the past few days that have led to the latest dip in share prices.
The first one was inevitable.
Last week, as the post-listing lock-in period for investors ended, Japanese investment giant Softbank sold a 4.7% stake in the company. Paytm’s stock fell 10% in response.
Then, this Tuesday, the stock fell another 11%.
