Shares of One97 Communications Ltd, which owns Paytm brand, dropped another 20% on Friday, February 2, as the RBI has directed Paytm Payments Bank Ltd (PPBL) to stop accepting deposits or top-ups in any customer accounts, wallets, FASTags and other instruments after February 29.
The stock declined by 20% to Rs 487.05 -- its lowest trading permissible limit for the day -- at the BSE, reported news agency PTI. On the NSE, it tumbled 20% to hit the lower circuit limit of Rs 487.20. Shares of One97 Communications plummeted 20% on Thursday as well. In two days, the company's market capitalisation (mcap) eroded by Rs 17,378.41 crore to Rs 30,931.59 crore.
Fintech firm Paytm sees an impact of Rs 300-500 crore on its annual operational profit, as its customers will not be able to add money to their wallets, FASTags etc as RBI barred Paytm Payments Bank Ltd from accepting deposits or top-ups in any customer account. The central bank on Wednesday barred PPBL from accepting deposits or top-ups in any customer account, prepaid instruments, wallets, and FASTags, among others after February 29, 2024.
Till then, customers can add money as well as withdraw money from the Paytm wallet and PPBL account. RBI said the action against PPBL followed a comprehensive system audit report and subsequent compliance validation report of external auditors. One97 Communications Ltd (OCL) holds a 49 per cent stake in PPBL but classifies it as an associate of the company and not as a subsidiary.