Antfin Sells 10.30% Stake in Paytm to Vijay Shekhar Sharma
IANS 07 August 2023
Antfin (Netherlands) has reduced significant shareholding in the leading mobile payments and financial services company Paytm.
 
As per an exchange filing, Vijay Shekhar Sharma, founder and chief executive officer (CEO) of One 97 Communications Limited (Paytm), and Antfin (Netherlands) Holding BV (Antfin) announced execution of an agreement for 10.3% stake in the company. 
 
Resilient, an overseas entity 100% owned by Sharma, will acquire 10.30% stake in Paytm from Antfin through an off-market transfer. 
 
With this, Sharma’s shareholding in Paytm (direct and indirect) will increase to 19.42%, whereas Antfin’s shareholding will reduce to 13.5%. 
 
Also, Antfin is no longer a majority shareholder in the company. 
 
As per the company’s exchange filing, Resilient will acquire ownership, and voting rights, of the 10.30% block. 
 
In consideration for the acquisition of the 10.30% stake, Resilient will issue optionally convertible debentures (OCDs) to Antfin which, in turn, will allow Antfin to retain economic value of the 10.30% stake, demonstrating Antfin’s continued confidence in the business potential. 
 
“Based on the closing price as on 04 August 2023, the value of the 10.30% stake amounts to $628 million,” according to the filing. 
 
Mr Sharma said, "I am proud of Paytm's role as a true champion of made-in-India financial innovation, and our achievements in revolutionizing mobile payments and contributing to formal financial services inclusion in the country. As we announce this transfer of ownership, I would like to express my sincere gratitude to Ant for their unwavering support and partnership over the past several years."
 
Mr Sharma would continue as managing director and chief executive officer (MD&CEO). The company said that Paytm remains a professionally managed company with no identifiable promoter.
 
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.
 
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