Paytm shares surge after block trade boost
Shares of One 97 Communications, the parent company of Paytm, rose slightly Tuesday morning after a block deal moved nearly Rs 2,949 crore worth of stock at a small discount.
The transaction involved 19.21 million shares sold at Rs 1,535.10 each—about 2.85% below Monday’s closing price of Rs 1,580.20 on the National Stock Exchange. Resilient Asset Management BV executed the sale, which was part of a plan to reduce its stake in Paytm through an optionally convertible debenture agreement with Antfin (Netherlands) Holding B.V.
Deal terms and stock movement
The floor price matched the sale price, as shown in a term sheet reviewed by reporters. The base deal covered a 3% stake, while an upsize option allowed for an additional 1.98% to be sold.
Paytm’s stock opened lower at Rs 1,573 but recovered quickly. By 9:17 a.m., it traded at Rs 1,596.45, marking a 0.84% gain from the previous close.
A 90-day lock-up period prevents the buyer from selling the shares immediately. Paytm stated in a filing that it was not involved in the transaction and that Antfin would retain the economic value from the sale under the agreement.
Background and shareholding context
Resilient had acquired a 10.2% stake in One 97 Communications from Antfin in August 2023 in exchange for debentures. The economic interest in those shares remained with Antfin. The recent sale appears tied to that arrangement, with Resilient serving as an intermediary.
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The company also confirmed the deal would not alter the founders’ direct shareholding. In a statement to exchanges, it said: “The company has been informed by Resilient Asset Management B.V. that it proposes to undertake a Block Market Trade to sell up to 4.98% shareholding in One 97 Communications Limited under its existing Optionally Convertible Debenture agreement with Antfin (Netherlands) Holding B.V. The economic value to be received by Resilient will be retained by Antfin under the OCD agreement.”
Such block deals are routine in Indian markets, allowing institutional investors to trade large stakes without causing immediate price swings. They usually occur outside regular trading hours at a negotiated price.
Paytm has faced challenges recently after the Reserve Bank of India barred its payments bank from accepting new deposits. The company has since shifted focus to merchant lending and payment gateway services, though investors remain cautious.
The stock fell nearly 40% from its January highs before stabilizing. Tuesday’s modest gain reflects some relief among traders, but the long-term outlook depends on Paytm’s ability to regain regulatory and customer trust.
Large transactions like this often signal confidence from major investors. The stocks to watch today include those tied to similar high-volume trades.
