MUMBAI: India’s biggest-ever IPO Paytm slumped 27 percent on its stock exchange debut Thursday, in the face of questions over whether the loss-making mobile payments giant will ever turn profitable.
Paytm raised $2.5 billion at its IPO price, but opened 10 percent lower on the BSE India exchange and doubled that discount within minutes.
Shares of One97 Communications, the holding firm of Paytm, traded for as low as 1,591 Indian rupees ($21.4), down from the offer price of 2,150 Indian rupees.
Paytm was valued at $16 billion in private markets when it raised $1 billion in late 2019.
Thursday’s IPO is the latest in a series of listings by Indian startups as many begin to explore the public markets following years of growth. Indian food delivery startup Zomato, online insurance aggregator Policybazaar, and fashion commerce Nykaa have made a stellar debut in the public market this year.