Shares of Indian digital payments platform Paytm fell over 25% at the start of the stock market on Thursday, as investors in the country questioned the company backed by SoftBank, Warren Buffett and Ant Group and its high valuations despite lack of profits. Pick up.
Shares of the Indian tech giant fell more than 26% at one point, plunging its valuation by more than $5 billion.
Earlier on Thursday, Paytm raised $2.5 billion in India’s largest initial public offering (IPO) at a valuation of $20 billion.
Despite initial concerns about its sharp valuations, investors were wary of the sharp fall in Paytm’s stock, which saw it rise from Rs 2,150 (about $29) per share to Rs 1,560 (about $21) at the end of Thursday’s trading. Saw it falling
After receiving funding from Masayoshi Sun’s SoftBank, Jack Ma’s Ant Group and Warren Buffett’s Berkshire Hathaway, Paytm is one of India’s most well-funded tech startups.