New FPIs boost investment into Paytm, domestic investors hike stakes by 1.68%

Investment into Paytm has been ramped up as domestic retail investors have hiked their stakes in the fintech by 1.68%. New foreign portfolio investors including New York-based Tiger Pacific Capital, Societe Generale, France’s third-largest listed bank, and Norway’s Government Pension Fund Global have also invested in Paytm.

Paytm Shareholding

As per Moneycontrol, the latest shareholding pattern for the quarter ended March 2024 shows retail investors held 14.53% stake in Paytm, a jump from 12.85% previously, as mutual funds (MFs) boosted their holdings further.

The stock exchange filings also show that the holdings by mutual funds have increased to 6.15% from 4.99% in the previous quarter with Mirae Asset Mutual Fund, raising stake to 3.76% from 2.51% in the December quarter, and Nippon India Mutual Fund at 1.66%.

Also Read: Paytm Payments Bank's MD and CEO, Surinder Chawla, steps down

Due to this the total stake held by domestic institutional investors, including alternate investment funds and insurance companies, recorded an increase of 0.8% to 4,35,68,764 shares.

Meanwhile, provident funds or pension funds that held 0.05% stake has now taken an exit, mentioned the Moneycontrol report. However, non-resident Indians (NRIs) brought some additional shares with 0.85 percent holding in the said quarter.

Foreign Portfolio Investment

Even as Foreign Portfolio Investors of Category 1 and 2 have raised their stakes in Paytm by more than 15 million shares, foreign instutions' holdings have dropped to 60.4% from 63.72% as Foreign Direct Investment dropped.

SoftBank (SVF India Holdings (Cayman) Limited) reduced stake to 1.4% in Q4FY24 while others, including Jack Ma-founded Antifin, Resilient Asset Management, and Saif Partners continued with almost same shares.

In the FPI category, with entry of new investors, Paytm’s previous foreign institutional investors—BNP Paribas Arbitrage and Canada Pension Plan Investment Board. As per Moneycontrol, New York and Hong Kong-based Tiger Pacific Master Fund made an entry in the quarter with 65,79,135 shares at 1.04% stake.

This was followed by Goldman Sachs (Singapore) Pte with 84,01,067 shares (1.32% holding), France’s third largest listed bank--Societe Generale--with 89,01,090 shares (1.40%), Morgan Stanley Asia (Singapore) Pte with 100,95,350 shares (1.59%), under the ODI route.

One of the World's largest Pension Fund, Norway’s Government Pension Fund Global now has 1.34% holding with 85,03,220 shares in Paytm.

Overall, the total FPI shareholding increased by 2% at 20.64 percent.