Indian fintech firm Paytm said on Monday that Netherlands-based Resilient Asset Management, fully owned by its founder and CEO Vijay Shekhar Sharma, has proposed to sell up to a 4.98% stake in the company.
Based on Paytm's last close, a sale of the 4.98% stake would be worth about 50.4 billion rupees ($527.71 million), according to Reuters calculations.
Local financial news outlet Moneycontrol reported, citing sources, that the floor price for the block trade has been set at 1,535.10 rupees per share, a discount of 2.9% to Paytm's last close on Monday.
This would value the stake sale at 48.95 billion rupees at the price, the outlet added. The company did not immediately respond to an email seeking details of the block trade.
Resilient acquired about a 10.20% stake in Paytm from Antfin(Netherlands) Holding B.V. in 2023 through optionally convertible debentures instead of a cash payment.
Under the deal, Resilient obtained ownership and voting rights attached to the shares, while Antfin retained the economic value.
Apart from Resilient's stake, Sharma directly owned a 9.03% stake in Paytm as of end-June, according to stock exchange data.
The proposed deal will not change Sharma's direct shareholding in the company, Paytm said.
Antfin will retain the value of the proceeds from the proposed block trade, the company added.
Paytm shares ended 1.4% lower at 1,580.20 rupees on Monday.