Shares of One97 Communications, the parent company of Paytm, fell over 10 per cent on the BSE on Thursday due to several block deals by investors as the pre-initial public offering (IPO) lock-in period came to an end.
SoftBank was to sell 29 million shares of the company — worth $215 million. The price range for the shares was set between Rs 555 to Rs 601.45, which would mean a discount of 7.7 per cent.
Sources in the know said that SoftBank will, over the time, pare its holdings in the new-age listed companies over the next year or so. It holds stakes in big Indian fintech firms like PB Fintech (the holding company of policybazaar), Delhivery and Zomato.
“However, the investor will not dump the shares entirely, as it will lead to panic selling,” said the source.
SoftBank’s investment in Paytm was $1.6 billion.