Paytm Founder's Entity to Sell 4.98% Stake Worth $528M

Resilient Asset Management, a Netherlands-based vehicle wholly controlled by Paytm founder and chief executive Vijay Shekhar Sharma, has announced plans to divest up to 4.98% of the Indian fintech company.

The firm disclosed in a regulatory filing that Resilient intends to execute a block market trade to sell shares in One 97 Communications, which operates the Paytm platform.

The transaction will occur through an existing Optionally Convertible Debenture arrangement with Antfin (Netherlands) Holding. Based on Paytm's recent closing price, the stake is valued at roughly Rs50.4bn ($527.71m), according to Reuters.

Local reports indicate the floor price for the block trade has been established at Rs1,535.10 per share.

Resilient acquired approximately 10.20% of Paytm from Antfin in 2023 through a unique financial arrangement.

Rather than paying cash upfront, the transaction was structured using Optionally Convertible Debentures. This framework gave Resilient ownership and voting control over the shares, while Antfin maintained the underlying economic interest.

Under the proposed block trade, Antfin will receive the sale proceeds, reflecting this unusual ownership arrangement.

Paytm emphasised that the company itself is not involved in the transaction.

The company is not a party to the transaction, and there is no change in the Founder's direct shareholding in Paytm.

The sale involves only Resilient's holdings and does not affect Sharma's personal stake in the fintech firm.

Paytm serves more than 44 million merchants and businesses across India, providing digital payment acceptance services.

The company continues to expand its geographic footprint. Last month, Paytm Europe Payments, a subsidiary of One 97 Communications, obtained a payment institution licence from Luxembourg's financial regulator, enabling operations across the European Union.