Alibaba sells remaining direct stake in Paytm for about Rs 1,360 Cr
Alibaba had 6.26% direct stake in Paytm as of December 2022. Of this, it had sold 3.1% stake in January. The remaining 3.16% was sold on Friday.
Chinese company Alibaba has sold 3.16% direct stake in digital financial services firm One97 Communications, which operates the brand, for about Rs 1,360 crore in a block deal, according to sources.
With this deal, Alibaba has sold its entire direct stake in the company. Alibaba had 6.26% direct stake in Paytm as of December 2022. Of this, it had sold 3.1% stake in January. The remaining 3.16% was sold on Friday.
"Alibaba has sold its complete direct stake in Paytm in the block deal today," a source aware of the development said.
Besides Alibaba, its group firm Ant Financial holds around 25% stake in Paytm.
Another source said that around 2.8 crore shares were sold in a block deal which includes a direct stake in Alibaba while others may have sold for profit- booking.
Prior to this, Jack Ma's founded firm had sold its stakes in and . An email query sent to Paytm and Alibaba did not elicit any reply in the regard.
In the quarter ending December, Paytm recorded a consolidated net loss of Rs 392 crore. The company had posted a net loss of Rs 778.4 crore in the same period a year ago.
Revenue from operations jumped about 42% to Rs 2,062.2 crore during the quarter, from Rs 1,456.1 crore in the year-ago period.
On Friday, Paytm's share price on BSE was down over 8% to Rs 654.25.
(This copy was updated to correct the amount of the block deal.)