courtesy: fortune india
The sell off in Paytm shares, which commenced in early February, appears to be continuing as the stock has hit a new low of Rs. 317.15 apiece in today’s session as it was locked in the 5% lower circuit limit. The stock’s previous all-time low of Rs. 318 was recorded in mid- February.
Today’s downtown in One97 Communications marks the 10th consecutive session of losses for the stock, which has been its longest losing streak since November 2021. During this period, the stock has fallen from Rs. 391.35 apiece to today’s closing price of Rs. 317, translating into a drop of nearly 19%.
Aditya Birla Finance has been significant lending partner for the company and is reportedly have exercised loan guarantees provided by fintech firm. This action follows repayment defaults from customers, as per sources familiar with the matter, cited by The Economic Times.
Moreover, Clix Capital and Piramal Finance have terminated their partnerships with Paytm, indicating challenges in the company’s lending business. The decisions have come forward in the wake of central bank’s ban on Paytm Payments Bank and a broader slowdown in unsecured consumer lending, as per the reports by the same sources.