Vijay Shekhar Sharma purchases 1.7 lakh Paytm shares for Rs 11 crore

Vijay Shekhar Sharma, the managing director of digital financial services provider One97 Communications, has purchased 1.7 lakh shares worth Rs 11 crore, according to a regulatory filing. Sharma purchased the shares on May 30-31, according to the company's disclosures, which operate under the Paytm name.

Sharma purchased 1,00,552 shares worth Rs 6.31 crore on May 30 and 71,469 shares worth Rs 4.68 crore on May 31. In the afternoon session, the company's shares was trading at Rs 625.75.

Sharma was not authorised to buy shares for at least six months after being a selling stakeholder in Paytm's IPO due to restrictions, but now that the limitation has been lifted, he has purchased Paytm shares. Sharma wrote a letter to shareholders in April in which he stated that the company will achieve operating EBITDA (EBITDA before ESOP cost) breakeven in the following six quarters.

Our commercial momentum, size of monetisation, and operating leverage give us hope. We expect this trend to continue, and I believe we will reach EBITDA breakeven in the next six quarters (i.e., EBITDA before ESOP costs, and by September 2023), considerably ahead of most analysts' expectations. Importantly, he continued, "we will achieve this without jeopardising any of our expansion goals." In a May research, Goldman Sachs stated that the current share price represents an attractive entry point into India's largest and fastest-growing financial platforms. In a May research, Goldman Sachs stated that the current share price represents an attractive entry point into India's largest and fastest-growing financial platforms.

The initial public offering (IPO) price of Paytm was Rs 2,150 per share, but once it was listed in November, it began to decrease. It hit an all-time low of Rs 511, but has been trading in the Rs 600 level for quite some time. Paytm ended the previous fiscal year on a high note, with revenue increasing by 89 percent year over year to Rs 1,541 crore in the fourth quarter, and contribution profit increasing by 210 percent to Rs 539 crore. Paytm ended the previous fiscal year on a high note, with revenue increasing by 89 percent year over year to Rs 1,541 crore in the fourth quarter, and contribution profit increasing by 210 percent to Rs 539 crore.

Revenue from operations surged 77 percent year over year to Rs 4,974 crore in 2021-22, while contribution profit increased 313 percent to Rs 1,498 crore.