Block deal: Rs 5,700 cr Paytm shares change hands on BSE, NSE; Antfin among likely sellers

One 97 Communications Ltd (Paytm) on Tuesday saw Rs 5,700 crore worth shares changing hands on BSE and NSE within the first 30 minutes of trading, as Alibaba's entity Antfin likely sold its remaining 5.8 per cent stake in the digital payment platform via block deals today. Paytm shares were down 1.7 per cent at Rs 1,059.95 apiece. On BSE, 4.10 crore Paytm shares worth Rs 4,387.73 changed hands. On NSE, Rs 1,350.26 crore worth 1.31 crore Paytm shares changed hands, data showed. 

Alibaba entity Antfin (Netherlands) Holding BV was looking to sell its remaining 5.84 per cent stake or 3,72,87,726 shares in Paytm at a 5.4 per cent discount. The floor price for the secondary sale was set at Rs 1,020 per share against Monday's closing price of Rs 1,078.20 on NSE, which would have fetched Antfin around Rs 3,803.30 crore. This was based on an exchange rate of 87.65 per dollar.

From a peak holding of 30.49 per cent in 2019, Antfin has been steadily paring its stake in Paytm in recent years. It owned 9.85 per cent at the end of the March quarter but sold another 4 per cent in May for $246 million through a block deal.

Citigroup Global Markets India Pvt. Ltd. and Goldman Sachs (India) Securities Pvt. Ltd. are the placement agents for Tuesday’s transaction, which could represent up to 6.84 per cent of Paytm’s total shares outstanding (TSO). Depending on demand, the sale may be capped at 3.73 million shares, or 5.84 per cent of TSO.

The block trade is set for August 5, with settlement on August 6 (T+1). It will be executed on a screen-based trading platform and is open to qualified institutional buyers (QIBs), accredited investors in Canada, and eligible clients outside the U.S., in accordance with applicable securities laws.

The placement, termed a “clean-up trade,” carries no lock-up requirement. Investors must submit execution instructions by 7 AM IST on August 5, with the order book opening the same day. Placement agents may amend or cancel unfilled orders at their discretion, particularly for foreign portfolio investors nearing investment limits.

Antfin’s strategic exit signals a broader reshaping of Paytm’s shareholding, amid rising investor interest and heightened regulatory oversight in India’s digital payments space.