updraftplus domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/aonyeani76/cryptocurrencypanther/wp-includes/functions.php on line 6131hustle domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/aonyeani76/cryptocurrencypanther/wp-includes/functions.php on line 6131wpforms-lite domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/aonyeani76/cryptocurrencypanther/wp-includes/functions.php on line 6131Digital payments firm Paytm saw its stock decline markedly after a shareholder offloaded 19.20 million shares.
Paytm shares suffered an 8.8% decline on Thursday following a series of block deals recorded by parent One97 Communications Ltd. According to reports, roughly 19.20 million shares or a 3% stake in the digital payments and financial services platform changed hands. The monetary value of the recent sale is around $125 million. Reports also stated that the likely seller in the Paytm block deal is Alibaba Group affiliate Ant Financial. As of September last year, Ant Financial held 164.42 million shares, or a 24.88% stake, in Paytm. Morgan Stanley (NYSE: MS) reportedly advised Alibaba on the deal.
The recent decline in Paytm shares marks the steepest plunge since November 22nd. The company’s stock was trading at Rs 528 a share as of press time. In addition, Paytm was trading down 5% from its previous close on the Bombay Stock Exchange (BSE). Before this development, the company’s stock had accrued 15% since December 26th. It traded up in 12 out of the last 14 sessions in that same period.
Goldman Sachs (NYSE: GS) estimates that Antfin Netherlands Holding procured Paytm shares between 2015 and 2019. Furthermore, the average stock price was Rs 300 a share during this acquisitional period. Meanwhile, the Alibaba Group-affiliated organization also invested in Paytm in 2015 at an average Rs 330 cost of acquisition. As of the end of September 2022, Alibaba held a 6.26% stake in the Indian “pay through mobile” initiative.
On Monday, Paytm reported to exchanges the disbursement of 3.7 million loans valued at Rs 3,665 crore in December. This development represents an on-year jump of 330% and a 357% disbursement climb for the December quarter.
With total disbursements for the December quarter at Rs 9,958 crore, the number of monthly transacting users also spiked 32% to 85 million. This figure stood at 65 million a year ago.
Paytm’s processed gross merchandise value experienced a 38% surge year-over-year to Rs 3.64 lakh crore last December. In addition, the Indian digital payments platform also added one million payment devices between October and December. Furthermore, the number of subscribed merchants for payment devices reached 5.8 million in December 2022.
JPMorgan Chase & Co (NYSE: JPM) previously weighed in on Paytm’s approved share buyback scheme last December. JPMorgan wrote in a December 14th note to investors:
“We expect it to burn $33 million over the next three quarters before turning Adj Ebitda breakeven in 2QFY24. We expect the buyback announcement at a 50 percent premium to provide support to the stock price in the near term. The reduction in cash because of the buyback offsets the reduction in share count, thereby keeping our price target unchanged. Reiterate Overweight.”
The Paytm board approved the buyback of shares worth Rs 850 crore, or $103 million, via the open market route. The number of shares repurchased could total 10.5 million at the optimum buyback price of Rs 810.
Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge.
When he’s not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.
Amid the wave of panic selling in India, Paytm CEO, Vijay Shekhar Sharma has opted a pro-crypto stance asserting the decentralized sphere’s inevitable development. Sharma spoke remotely at a virtual conference organized by the Indian Chamber of Commerce (ICC) this Thursday, where he levied crypto as Silicon Valley’s answer to Wall Street. While arguing in favor of crypto’s mainstream adoption, Sharma added that within the next five years, crypto will most certainly become part of our everyday routines, comparing it to the Internet, which was equally criticized during its initial days.
He also touched upon the theme of the Indian government’s potential crypto ban after the Crypto Bill is tabled during Parliament’s winter session, noting that governments are confused about crypto across the globe, however, that does not necessarily confirm a dead end for virtual currencies. Additionally, Sharma argued that crypto can never replace sovereign currency, like the Indian Rupee, yet Crypto’s growth is not linked with its potential to replace native currencies.
He said, “I am very positive about crypto. It is fundamentally based on cryptography and will be the mainstream technology in a few years like the internet which is (now) part of daily life…Every government is confused. In five years, it will be the mainstream technology.”
India continues to stay in news given its latest crypto bill snapshot leak controversy that further triggered a crypto crash in the country. The market went into shock after speculations about a crypto ban in India spread like wild fire based on the crypto bill brief presented in the snapshot. The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021 is among the 26 bills which are scheduled to get listed for the upcoming winter session starting on 29 November. The speculations caused an overnight pain selling series, further resulting in the prices of Bitcoin (BTC) and multiple other leading altcoins to crash over 20% on exchanges like WazirX. Nevertheless, it did not impact the global markets, as they continued to maintain a stable price given the stats on Coinmarketcap remained close to unaffected.
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The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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