Paytm shares clarification on Adani stake acquisition report; stock reacts

Paytm share price today: Shares of One 97 Communications (Paytm) hit 5 per cent upper circuit limit in Wednesday's trade, even as the Vijay Shekhar Sharma-led fintech major said the reports of Adani eyeing stake in the company are speculative and that the company is not engaged in any discussions in this regard.

"We have always made and will continue to make disclosures in compliance with our obligations under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015," Paytm said.

Paytm shares were trading 5 per cent higher at Rs 359.55 on BSE. As per a Times of India report, Adani Group chairman Gautam Adani was considering buying a stake in Paytm's parent company and that Sharma met him at his office in Ahmedabad to finalise the contours of a deal on Tuesday.

The report came in the backdrop of mounting losses at Paytm, following the RBI ban on Paytm Payments Bank Ltd (PPBL). The fintech major reported as Rs 549.60 crore loss in the March quarter, up from Rs 219.80 crore in the December quarter and Rs 168.90 crore in the same quarter last year.

As per the report, Adani was engaging with West Asian funds to attract them as investors in One 97 Communications, the Times of India report suggested. Vijay Shekhar Sharma owned nearly 19 per cent stake in One 97 Communications. His stake was last valued at Rs just over Rs 4,200 crore.

SoftBank has sold its majority stake in Paytm. Warren Buffett’s Berkshire Hathaway reportedly exited Paytm last year.