Paytm's shareholders have given crucial approval for the company's mega IPO plan, approving the proposal for a Rs 12,000 crore primary raise. The company also plans a secondary raise of Rs 4,600 crore, bringing the total IPO size to Rs 16,600 crore.
The shareholders also approved the proposal to declassify founder VIjay Shekhar Sharma as the promoter of the company. SEBI approval will be needed for declassifying Sharma as the promoter. Sharma will continue to be the Chairman, Managing Director and Chief Executive Officer of the company.
The EGM also saw approval of the new ‘Articles of Association’ of the company as per the required guidelines, as well as the changes in the Employee Stock Options Plan.
Paytm is now looking to list as a Professionally Managed company, as per sources, and will need SEBI approval. CNBC-TV18 had reported that Alibaba and Ant Group, which own 37 percent stake in PayTM, will have to lower the stake for the company to be listed as a professionally managed company.
CNBC-TV18 had reported earlier that Paytm is eyeing a Diwali listing in India, which
The company recently rejigged its board ahead of the IPO, which saw the exit of the two Chinese nationals who were on the board.
Jing Xiandong, CEO of Ant Group, resigned as director, and Paytm has brought in American national Douglas Lehman Feagin of Alibaba instead, as per regulatory filings. Michael Yuen Jen, who is senior vice president of Alibaba Group has also retired effective June 30.
Paytm has also brought in Ashit Lilani of Saama Capital appointed as an independent director
Todd Anthony Combs of Berkshire Hathaway also retired post June 30.
Munish Verma of Softbank has been temporarily replaced by Vikas Agnihotri, as per the filings.
The other members on the board are founder Vijay Shekhar Sharma, Ravi Adusamalli, Elevation Capital, Pallavi Shroff, Managing Partner of Shardul Amarchand Mangaldas law firm, and Mark Schwartz, Goldman Sachs.
(Edited by : Anshul)
First Published: IST