MUMBAI: The inventory worth of One97 Communications, which operates Paytm, crashed 9% on Monday after a report stated that Sebi had issued show-cause notices to its founder-chairman Vijay Shekhar Sharma and those that had been on its board when the corporate listed in Nov 2021. The corporate clarified that the notices had been “not new” after buying and selling hours.
The notices sought to make clear if Sharma was a promoter and certified as a big shareholder in the course of the IPO.Promoters, underneath Sebi guidelines, usually are not eligible to get inventory choices from the corporate.
After the information report was revealed late session, Paytm’s inventory worth on the BSE crashed from about Rs 555 to Rs 505 – a 9% loss. After that it recovered some floor to shut at Rs 530, down over 4% on the day. Whole traded quantity within the counter additionally jumped to 14.2 lakh shares from its two-week common of seven.8 lakh. Later, the corporate stated the notices had been already disclosed in its FY24 annual report and June quarter monetary outcomes.
“(This) will not be a brand new improvement, as the corporate had already made related disclosures on this matter in its monetary outcomes for the quarter and yr ended March 31, 2024, in addition to the June quarter,” it stated to the inventory exchanges. “The corporate is in common communication with the (Sebi) and making mandatory representations concerning this matter. Accordingly, there isn’t any influence on the monetary outcomes for earlier quarters ended June 30, 2024, and March 31, 2024, respectively.”
Based on a launch from the corporate, its auditor’s evaluation report had said that the administration obtained an unbiased authorized opinion and based mostly on the identical the corporate believed that it was compliant with the related laws.
Earlier this yr, RBI had imposed a ban on Paytm Funds Financial institution, an arm of the corporate, from providing incremental banking providers. Its inventory worth had greater than halved after the diktat and continues to be down 30% from its Jan 29 stage of Rs 761. At present ranges, the inventory is buying and selling at 1 / 4 of the IPO worth (Rs 2,150)
The notices sought to make clear if Sharma was a promoter and certified as a big shareholder in the course of the IPO.Promoters, underneath Sebi guidelines, usually are not eligible to get inventory choices from the corporate.
After the information report was revealed late session, Paytm’s inventory worth on the BSE crashed from about Rs 555 to Rs 505 – a 9% loss. After that it recovered some floor to shut at Rs 530, down over 4% on the day. Whole traded quantity within the counter additionally jumped to 14.2 lakh shares from its two-week common of seven.8 lakh. Later, the corporate stated the notices had been already disclosed in its FY24 annual report and June quarter monetary outcomes.
“(This) will not be a brand new improvement, as the corporate had already made related disclosures on this matter in its monetary outcomes for the quarter and yr ended March 31, 2024, in addition to the June quarter,” it stated to the inventory exchanges. “The corporate is in common communication with the (Sebi) and making mandatory representations concerning this matter. Accordingly, there isn’t any influence on the monetary outcomes for earlier quarters ended June 30, 2024, and March 31, 2024, respectively.”
Based on a launch from the corporate, its auditor’s evaluation report had said that the administration obtained an unbiased authorized opinion and based mostly on the identical the corporate believed that it was compliant with the related laws.
Earlier this yr, RBI had imposed a ban on Paytm Funds Financial institution, an arm of the corporate, from providing incremental banking providers. Its inventory worth had greater than halved after the diktat and continues to be down 30% from its Jan 29 stage of Rs 761. At present ranges, the inventory is buying and selling at 1 / 4 of the IPO worth (Rs 2,150)
