Mumbai (Maharashtra) [India], August 7 : Vijay Shekhar Sharma, Founder, Managing Director, and CEO of One 97 Communications Limited, Patym's parent company has entered into an agreement to acquire 10.3 per cent of the company's shares from Antfin (Netherlands) Holdings BV for USD 628 million.
The transaction will be conducted through Vijay’s 100 per cent owned overseas entity, Resilient Asset Management BV, based in the Netherlands.
Upon completion of the off-market transfer, Sharma's overall shareholding in Paytm, both direct and indirect, will increase to 19.42 per cent.
In contrast, Antfin's shareholding will reduce to 13.5 per cent, making it no longer the largest shareholder in the company.
The acquisition will be carried out at the prevailing market price, with the 10.30 per cent stake valued at 628 million USD based on the closing price as of August 4, 2023.
To facilitate the transaction, Resilient will issue Optionally Convertible Debentures (OCDs) to Antfin, allowing the latter to retain economic value from the 10.30 per cent stake.
Vijay Sharma will continue as the Managing Director and CEO, and the existing Board remaining intact.
“I am proud of Paytm's role as a true champion of made-in-India financial innovation, and our achievements in revolutionizing mobile payments and contributing to formal financial services inclusion in the country. As we announce this transfer of ownership, I would like to express my sincere gratitude to Ant for their unwavering support and partnership over the past several years,” Vijay Shekhar Sharma said in a statment.
He also expressed his gratitude to Antfin for their unwavering support and partnership over the years.
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