Even as shares of One97 Communications continued to trade sharply lower after a weak market debut, Paytm Founder Vijay Shekhar Sharma said that today's stock price is not a true reflection of the company's opportunity and scale.
"Today’s share price or any day's share price will actually never be a true reflection of our opportunity and our scale. It is simply an opinion of few buyers and sellers of that day," Sharma said in an interview with CNBC-TV18.
The CEO said that while people know about the Paytm 'product', they may not necessarily understand the company's business model.
"People will take time to understand the business model. The fact that a payment company can do financial services like private insurance and wealth is something new to the Indian stock market... Over the period it will show up what this business model and scale is," he said.
"We are a crossover of tech and financial services," Sharma said while describing his firm, adding that the commercial model of the company is yet to be understood.
"I am very sure that it is a phenomenal opportunity to build payment company and I believe that the stock market in due course will learn... Remember, when we launched Paytm as payment method -- like you open a phone, pick up your phone and make a payment, that was not understood by people. People took time to understand what it is exactly. The business model is an obligation for us to make people learn and people will learn it," said the founder.
He said he couldn't be "more proud today about the scale we are seeing MoM and YoY on our financial business".
Paytm shares fell sharply after they made a weak market debut at a discount of 9 percent to the issue price. At 2:37 PM, the stock was trading 26.37 percent lower at Rs 1583.10 on the BSE.
First Published: IST