Pre-IPO investors are selling Paytm shares. But who are buying them?
- NSE bulk deals: Morgan Stanley Asia Singapore bought 60,03,468 Paytm shares paying ₹555 apiece.
Paytm shares are oscillating around its life-time lows that has attracted bottom-fishing interest by some foreign institutional investors. Bank of America (BofA) Securities and Morgan Stanley Asia Singapore and Societe Generale are among the FIIs who have bought shares in the company in recent bulk deals.
Softbank on Thursday divested 4.5% stake in Paytm's parent One97 Communications for ₹1,631 crore through an open market transaction. Earlier this month, the lock-in period ended for the pre-offer investors that had invested in Paytm, which was listed on the bourses in November last year.
As per the NSE bulk deals, Morgan Stanley Asia Singapore has bought 60,03,468 Paytm shares whereas BofA Securities and Societe Generale bought 50,26,428 and 70,85,227 Paytm shares respectively. However, SVF India Holdings (Cayman) sold out its 2,93,50,000 Paytm shares. All these buying and selling of Paytm shares were executed through bulk deal on 17th November 2022.
NSE bulk deals
As per the details available on NSE website, Morgan Stanley Asia Singapore bought 60,03,468 Paytm shares paying ₹555 apiece. This means Morgan Stanley has invested ₹3,33,19,24,740 or in other words, Morgan Stanley bought Paytm shares worth more than ₹333 crore on 17th November 2022.
Likewise, BofA Securities bought 50,26,428 Paytm shares paying ₹555 per share. This means BofA Securities bought Paytm shares worth ₹2,78,96,67,540 or around ₹279 crore.
Similarly, Societe Generale bought 70,85,227 Paytm shares paying ₹555 for one share. This means Societe Generale made an investment of ₹3,93,23,00,985 or around ₹393 crore in one shot.
However, SVF India Holdings (Cayman) offloaded 2,93,50,000 Paytm shares at ₹555.67 per share levels. This means, SVF India Holdings booked profit in Paytm, selling out Paytm shares worth ₹16,30,89,14,500 or around ₹1,630 crore.
Since its listing on BSE and NSE, Paytm shares have remained under the hold of market bears and the stock recently made its new life time low of ₹510 on NSE, which is more than 75 per cent below Paytm IPO's upper price band of ₹2150. Paytm share price today is around ₹540 apiece levels.
After Q2FY23 results, ICICI Securities gave buy tag to Paytm shares citing, "Steady improvement in margin profile with better monetisation suggests achievement of operating profitability (positive EBITDA before ESOP cost) ahead of its guided timeline of Q2FY24. Maintain BUY with an unchanged target price of ₹1,285 based on customer lifetime value methodology."
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.
Catch all the Business News , Market News , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
- Top Gainers
- Top Losers
- 52 Week High