Paytm finalises investment bankers for upcoming mega IPO: Report

The proposed IPO is likely to have a combination of fresh issue of equity shares as well as an offer for sale of equity shares by existing shareholders of the company. | Representative Image

The board of One97 Communications, the parent company of Paytm is reportedly done with finalising investment bankers for the upcoming initial public offering (IPO).

Paytm, currently one of the leading players in the digital payments space has roped in JP Morgan, Morgan Stanley, ICICI Securities, and Goldman Sachs to lead the IPO, a report in Times of India said citing sources.

Moneycontrol could not independently verify the report.

Paytm refused to comment on the appointment of the investment bankers, according to the report. Meanwhile, the publication said that the company was looking at filing its draft red herring prospectus as early as next month.

On May 28, in a letter addressed to its stakeholders and employees having stock options, the company said it has received in-principle approval from its board to go for a $3 billion initial public offering (IPO), making it the biggest in India's history.

The proposed IPO is likely to have a combination of fresh issues of equity shares as well as an offer for the sale of equity shares by existing shareholders of the company.

Among Paytm shareholders, Alibaba's Ant Group has 29.71 percent of its shares, while Softbank Vision Fund, Saif Partners, and Vijay Shekhar Sharma consist 19.63 percent, 18.56 percent, and 14.67 percent shares, respectively.