Prominent provider of banking and payment services Paytm has submitted to stock markets its updated shareholding pattern for Q4 FY23.
The number of local institutions and international portfolio investors owning shares of the firm has increased (FPIs).
With mutual funds (MFs) and alternative investment funds (AIFs) expanding their holdings, domestic institutional ownership increased from 1.9% to 3.2%.
As a whole, mutual fund ownership has climbed by about 1% QoQ, with Mirae Asset’s stake rising from 1.1% to 1.81%.
With FPIs significantly growing their investment in the firm, the percentage of shares held by foreign institutions has increased from 6.7 to 11.5 percent.
Due mostly to Alibaba’s stake sale, FDI ownership has decreased from 66 percent last quarter to 60 percent today.
By selling all of its stock in the firm in January and February, the Chinese e-commerce giant has fully left the business.
Even though the overall number of shares stayed same as a result of the repurchase, Ant’s ownership in Paytm increased marginally to 25.47 percent.
By the sale of 3.3 million shares, Ant Financial has now decreased its portion of the market below 25% to 24.94%, which was anticipated in accordance with regulatory requirements.
Yet on a quarter-over-quarter basis, Ant’s stake has stayed the same (24.94 per cent in March 23 as compared to 24.86 per cent in December 2022).
It is important to remember that Alibaba and Ant are two independent companies with no real connection.
All of Paytm’s major businesses continue to develop steadily. Although Paytm’s Q4 earnings are anticipated, the business last quarter passed its operational profitability milestone well in advance of its September 2023 estimate.
The fintech behemoth’s EBITDA before ESOP cost was Rs 31 crore, and its EBITDA before ESOP margin was 2% of sales, down from 27% a year earlier.
Paytm’s operational revenue climbed 42% YoY to Rs 2,062 crore in the third quarter of FY23, led by expansion in its core payments business and continued growing momentum in the credit business and commerce business.
