The deal was executed at Rs 555.67, two folks with direct data of the matter mentioned, the decrease finish of the deliberate worth vary of Rs 555 to Rs 601.45 that was listed within the transaction’s time period sheet reviewed by Reuters.
SoftBank’s sale of 29.35 million shares at that worth quantities to a complete consideration of $200 million, in line with Reuters calculations. Paytm shares fell greater than 9% on information of the commerce.
SoftBank’s Vision Fund is the second-largest shareholder of Paytm, whose shares have tumbled greater than 60% because it went public a 12 months in the past. SoftBank had a 17.5% stake in Paytm as of Sept. 30.
The sale is the most recent in a string of divestmentsthat SoftBank has made up to now few months, after its flagship Imaginative and prescient Fund unit booked almost $50 billion in losses in simply six months.
The shares are being purchased largely by hedge funds, together with Millennium Capital, Segantii Capital Administration, Ghisallo Capital Administration, with different consumers together with Norges Financial institution, Norway’s central financial institution, mentioned one of many folks with direct data of the matter.
The sources declined to be recognized as a result of they weren’t authorised to debate the matter publicly.
SoftBank, Paytm, Millennium, Segantii, Ghisallo and Norges Financial institution didn’t reply to requests for remark.
The transaction was led by Financial institution of America, in line with the time period sheet.
Imaginative and prescient Fund offered a variety of belongings within the April-June quarter – together with ridehailer Uber Technologies and property platforms Opendoor Applied sciences and KE Holdings , which operates China’s Beike – for a realised achieve of $5.6 billion.
Paytm went public final 12 months in India’s biggest-ever IPO, however the shares skidded as little as 70% beneath itemizing worth within the months after the itemizing.
Whereas SoftBank has invested $1.6 billion into the digital funds agency through the years, amongst its greatest investments in India, at Paytm’s present share worth, the 17.5% stake SoftBank held within the firm earlier than Thursday’s share sale is price solely about $900 million.