Domestic investors including mutual funds and retail shareholders have significantly upped their shareholding in fintech major Paytm in the just ended third quarter this fiscal, latest shareholding data with stock exchanges showed.
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Mutual Funds have increased their stake by 2.20 per centto 4.99 per centin Q3FY24 from 2.79 per centin Q2FY24, led by investment from Mirae Mutual Fund and Nippon India Mutual Fund. As a result domestic institutional investors witnessed an increase in stake by 2 per cent to 6.06 per centfrom 4.06 per cent.
The increase in interest is also seen in the massive jump of retail shareholding. On Retail investors’ shareholding has gone up up significantly by more than 4 per centto 12.85 per centfrom 8.28 per centsequentially while Non Resident Indians (NRIs) also saw an increase to 0.67 per centfrom 0.49 per cent.
Meanwhile, in the foreign portfolio investors’ (FPIs) category, the shareholding is at 18 per centand FPI Category II saw a marginal decline 0.45 per centsequentially.
In the FDI category, the shareholding by SVF India Holdings (Cayman) stands at 6.46 per centfrom 8.34 per cent while BH International Holdings sold its 2.46 per centstake.
Global and domestic brokerage firms CLSA, Jefferies, Bernstein, Axis Capital and Motilal Oswal Financial Services see Paytmposting a healthy growth in total revenue, and contribution margin, strong GMV growth, and improvement in adjusted EBITDA in the third quarter of FY24. The company is yet to announce third quarter results.
In the second quarter, the fintech giant’s revenues grew 32 per centyear-on-year (YoY) to ₹2,519 Crore led by higher subscription revenue, payments business revenue and growth in loan disbursals. Additionally, its contribution profit jumped 69 per cent YoY to ₹1,426 Crore with contribution margin up at 57 per centfrom 44 per centlast year.