While reports claimed that Ant Financial is planning to sell its stake in the company, both Paytm and Ant denied them as rumours and called the reports ‘false’ and ‘misleading’.
“The information is absolutely false and misleading. There has been no discussion with any of our major shareholders ever about selling their stake or becoming the controlling shareholder. Our mission is to empower half a billion Indians with digital financial services and pursue the vast opportunity presented by the digital financial revolution in our country. We are seeing a dramatic increase in revenues and acceleration of our path to breakeven,” said a Paytm spokesperson.Sources close to the company said that there has been no change in the ownership pattern of Paytm and the investors completely back its financial services foray which has now expanded pan-India.
Ant Group took to Twitter to deny the reports, saying: “The Reuters story is untrue. We are disappointed that Reuters decided to run the story based on false information.”
According to the sources, the overall investor sentiment surrounding Paytm is at an all time high. Over the last several quarters, especially during the Covid-19 pandemic, Paytm has been constantly increasing the scope of its services, adding more use cases to the app as well as expanding fast into the financial services territory.
It has launched new insurance and wealth products which are getting adopted by its users as more people are transacting digitally in India. The progress has helped in instilling more confidence in all its investors and they expect expansion of these services going forward.
According to the senior executive of a PE firm that has invested in Paytm, “Every investor who has ever invested in Paytm has held on to the shares for at least five years and has always sold it at a profit. Post the company’s last funding round a year back, it is seeing a strong momentum in its business wherein GMV has gone up by nearly 100 per cent. At the same time, many of its new businesses, particularly payment gateway, UPI money transfer, equity trading, lending, POS devices and advertising, are performing far ahead of the internal expectations. Paytm’s FY20 revenue has increased to Rs 3,629 crore, even as burn has reduced by over 60 per cent in the last 18 months.”
- Chinese tech titan Ant Financial in £500m bid for WorldFirst
- Jack Ma’s Ant Financial, Globe Telecom Launch E-Payment Service
- Why Ant Financial reigns in the land where cash is no longer king
- China's Didi, Ant Financial weigh joint $2 billion Ofo buyout
- Viacom Weighs Stake Sale in China
- Qatar steps in to rescue Rosneft's troubled stake sale to China
- Commerzbank stake sale would cost German taxpayers billions of euros
- Stake sale in troubled Jet Airways may get delayed
- IT firm CMC to offload entire stake in BaoViet Bank
- MARKET REPORT: Odey snaps up bargain shares in Plus500
- CitigroupJoins India's Digital Paytm for Card Launch
- Alibaba Takes Stake in Bank Backed by Tencent
- Ant's MoneyGram failure casts pall over Chinese dealmaking
- L'Oreal shares climb after strong Q4 figures, CEO comments on Nestle's stake
- China trying to broker sale of stake in insurer Anbang: sources
- Vietcombank to sell 10% stake to foreign investors
- Tata Steel open to taking majority stake in Thyssenkrupp tie-up
- Deutsche Bank looking to sell stake in Dubai-based Abraaj
- Singapore's Temasek set to report record portfolio; tech deals in focus
- Exxon Explores Sale Of US Gulf Of Mexico Assets: Report
Paytm quashes reports of stake sale by Ant Financial have 590 words, post on bfsi.economictimes.indiatimes.com at December 2, 2020. This is cached page on Talk Vietnam. If you want remove this page, please contact us.