Digital payments startup Paytm has filed a draft red herring prospectus (DRHP), for an initial public offering (IPO) of up to Rs 16,600 crore.
The total issue size of Rs 16,600 crore consists of a fresh issue and an offer for sale (OFS) of up to Rs 8,300 crore each, draft papers submitted to the market regulator Securities & Exchange Board of India (Sebi) showed on Friday.
Large investors ANT, Alibaba, Softbank, Elevation Capital are set to sell shares through the OFS, as per the document.
The development confirms CNBC-TV18 newsbreak that the primary issue size of Rs 8,300 crore will include Rs 2,000 crore pre-IPO placement.
With the total issue size at Rs 16,600 crore, Paytm sees a valuation of $30 billion.
Owned by One97 Communications Ltd, the Noida-based company said it would use the IPO proceeds to strengthen its payment ecosystem, including through acquisition of consumers and merchants and providing them with greater access to technology and financial services.
A part of the proceeds will also be used for investing in new business initiatives, acquisitions and strategic partnerships, as per the DRHP.
JPMorgan Chase, Morgan Stanley, ICICI Securities, Goldman Sachs, Axis Capital, Citi and HDFC Bank are the booking running managers for the IPO.
First Published: IST