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Paytm IPO: Slow response from investors! Till now 36% bid has been received, but retail share is fully subscribed

Today is the second day of Paytm’s IPO and by 1:30 pm it was 36 percent subscribed. However, the reserve portion for retail investors has been completely filled.

Paytm IPO Subscription Status: There was a long awaited IPO of payment company Paytm which is open for subscription on November 8. But the issue has not received a strong response so far. By 1:30 pm on the second day of the issue, the IPO has got 36 percent bidding. However, the reserve portion for retail investors has been completely filled. It can be subscribed till 10th November. The size of Paytm’s IPO is Rs 18300 crore and it is the largest IPO in the country so far. Earlier, the government company Coal India had brought an IPO of 15 thousand crores.

which part is full

75 per cent of the IPO was reserved for Qualified Institutional Buyers (QIBs), which was 0.29 per cent filled till 1:30 pm on the second day. Whereas 10 percent was reserved for retail investors, which has been filled 1.04 times so far. The same 15 percent was reserved for non-institutional investors, which has been filled only 0.03 times so far. The issue was subscribed only 18 percent on the first day. Retail investors’ share was 0.78 times, QIB’s share was 0.06 times and non-institutional investors’ share was only 0.02 times.

Paytm IPO: Price Band

The price band for Paytm’s IPO has been fixed at Rs 2080-2150. In this issue, investors will have to bid for at least 6 equity shares. In terms of upper price band Rs 2150, at least Rs 12900 will have to be invested. After this, you can invest in a multiple of 1.

investment advice

Anil Singhvi, Managing Editor, dgmartpro Business, has advised investors with risk appetite to invest in these issues only for the long term. They say that if there is a plan to make money on listing gains, then it is better to stay away from this issue. Chances of share allotment are high. But short term investors should stay away from it. There are some positive and some negative factors with the company. For example, the track record of revenue has been good, with 40 per cent market share in digital payments. Market cap is strong.

But there are some negative factors also. As it is a loss making company and when it will come in profit, nothing can be said about it, there is a competition going on in this sector. The company’s expenditure on advertisements is high. A part of the fund proceeds from the issue is to be invested in inorganic growth, where the money is to be paid more.


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