Reliance Capital plans to sell 1% stake in Paytm: report

Industry:    2017-02-20

Reliance Capital is in talks to sell its 1% shareholding in digital payments firm Paytm for about $50-60 million.

According to people familiar with the matter, Reliance Capital is planning to raise $50-60 million by selling its 1% share in One97 Communications, the parent company of Paytm. When contacted, both Reliance Capital and Paytm spokespersons declined to comment on the matter.

Earlier, Reliance Capital had said it will trim down its proprietary investment portfolio as part of its plans to monetise non-core assets. Alibaba-backed Paytm was valued at about $4.8 billion in its last round of funding.

In December last year, Paytm founder and CEO Vijay Shekhar Sharma sold 1% of his holding in One97 Communications to raise about Rs325 crore. This money was to be pumped into the group’s payments bank operations which are slated to commence later this month.

Reliance Group companies have sued HT Media Ltd, Mint’s publisher, and nine others in the Bombay high court over a 2 October 2014 front-page story that they have disputed. HT Media is contesting the case.

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