Paytm Share Price | Why is Paytm’s stock booming? More returns than FD in one day

Paytm Share Price | Today was a very auspicious day for the shareholders of Paytm, as the stock saw a jump of more than 11 percent today. Shares of One97 Communications, a fintech company that provides services under the Paytm brand, jumped over 11 per cent in early trade on Monday. Many shareholders and market owners are wondering why this rally in the stock happened? So know the answer.

Paytm Stock Price

The stock jumped after the company’s founder and CEO Vijay Shekhar Sharma announced that he would acquire a 10.30 per cent stake in Paytm from Antfin (Netherlands) Holding Bv.

The deal will be cashless. The stock price of the company rose by 11.57 per cent to Rs 887.55 on the BSE. However, today the stock closed at Rs 851 with a gain of 7 percent.

Paytm Share Price : Vijay Shekhar Sharma to buy 10.3 percent stake

As per the media report on deal, Vijay Sharma will buy 10.3 percent stake in Paytm from Antfin through his 100 percent owned foreign entity Resilient Asset Management BV. The economic rights of the stake to be transferred to Sharma will remain with Antfin.

“No cash payment shall be made for this acquisition nor shall any mortgage, guarantee or other value assurance be provided by Sharma, directly or otherwise.

Recently, Paytm released the results of the April-June 2023 quarter. During this period, the company’s loss came down to Rs 3458 crore, while in the June quarter of 2022, the company had a loss of Rs 645 crore.

The company had said that the loss has declined due to increasing operating income. Operating income increased by 39.4 percent to Rs 2341.6 crore. In the June 2022 quarter, it was Rs 1679 crore.

Following the results presented by Paytm, brokerage house Credit Suisse had given a buy rating on the stock and increased the target price from Rs 850 to Rs 1050 per share.

Disclaimer | Investments in mutual funds and stock markets are based on risks. Be sure to consult your financial advisor before investing in the stock market. Republicnews24.com will not be responsible for any financial loss.