The Rs18,300-crore initial public offer (IPO) of One 97 Communications, the parent company of digital payments giant Paytm, was subscribed 37 per cent on Tuesday after an 18 per cent subscription on the first day of the public issue on Monday.
The second day of bidding saw subscription rising to 17.1 million equity shares against the offer size of 48.3 million shares. The portion set aside for retail investors was subscribed 1.04 times, while the reserved portion of non-institutional investors was subscribed 3 per cent, and qualified institutional buyers have put in bids for 29 per cent shares of the portion set aside for them.
Paytm’s shares are being offered at a price band of Rs2,080-Rs2,150.
The largest-ever public issue in the history of Indian capital markets, the Paytm offer opened for investors on 8 November and it will close on 10 November.
One97 Communications (Paytm) offers payment, commerce, cloud, and financial services through its payment app. The high penetration in internet and smartphone users has supported the company to grow at faster pace due to attractive user interface by Paytm app. The company has market share of approximately 40 per cent in the overall payments transaction volume, and 65 to 75 per cent market share of wallet payments transaction in India as of FY2021.