which opened for subscription in India today, should be a “great event” for the Japanese investment major.
“I believe Paytm should grow significantly…and valuation-wise. Of course, it depends on market conditions and investor appetite. Either way, the valuation (of Paytm) should be bigger than what we spent when we made an investment. So for us the IPO should be a great event,” Son told reporters after announcing
SoftBank’s earnings on Monday. He was asked if Paytm’s IPO valuation of around $20 billion was less than expected, and about the company’s potential.
“I believe they can grow their value going forward… not only Paytm but there are other businesses that we have high expectations of,” Son said, adding that the number of IPOs from its portfolio has been increasing. SoftBank, which owns almost 20% of Noida-based Paytm, will sell shares worth Rs 1,689 crore as part of the Rs 10,000 crore offer for sale (OFS) in
Paytm’s IPO, which closes on November 10.
Last week, Paytm
raised Rs 8,235 crore from anchor investors, or about 45% of the Rs 18,300 crore it is seeking to raise in total from the IPO. Top sovereign wealth funds and financial investors such as Singapore’s GIC, Canada’s CPPIB, BlackRock, Alkeon Capital, Abu Dhabi Investment Authority (ADIA) are among those that picked up stakes in Paytm.
