![]() Paytm IPO to hit the market November 08 and will close on November 10. PTI ANZ BALĭon’t miss out on ET Prime stories! Get your daily dose of business updates on WhatsApp. However, sources have reported that the company is likely to make a public debut. Its Friday closing price on the BSE at Rs 545 is lower than the IPO price of Rs 2,150. It posted Rs 628 crore loss in the June quarter of 2022-23, which was trimmed to Rs 588 crore in the September quarter. Paytm reported a Rs 2,325 crore loss in 2021-22. Paytm's recent numbers showed revenue surging by 76 per cent year-on-year and the losses narrowing by 11 per cent quarter-on-quarter. The company again reiterated in its second quarter results that it will attain profitability by the end of September 2023. In Paytm's case, the buyback programme meets the criteria. There is speculation about the buyback being at a price below the IPO price.įurthermore, the law specifically prohibits side deals or negotiated deals for a buyback.Īs a thumb rule, a company undertakes a buyback programme when it has surplus cash flow, which is sitting idle, or if its shares are available at a price below intrinsic value, and hence it's a great time to retire capital. ![]() ![]() The company has so far not provided any details of the buyback and size, and other details are likely to be disclosed after the board meeting. Sources said Paytm in all probability will use its pre-IPO cash reserves for the buyback and in the near future, it will start using the generated cash flow for its expansion. In the recently concluded meeting with analysts, Paytm's top management highlighted that the company is close to cash flow generation, which in the future will be used for its further expansion.
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