Chinese Multinational conglomerate Alibaba, who was one of the earliest investors in Paytm’s parent company, One97 Communications has reportedly sold its last 3.4 percent share in the fintech company.
The 3.4% equity amounts to nearly 2.1 crore shares in Paytm’s One 97 communications limited has been handed over by Alibaba which has resulted in the reduction of its shares by 9 percent.
Earlier in January 2023 the company sold 3.1 percent of its 6.26 percent equity in Paytm and with this recent sale of shares, the company is no longer a stakeholder in Paytm.
The new-age company’s Q3 net loss had narrowed to Rs 392 crore from Rs 779 crore a year ago. “With our focus on growth and keeping a tight vigil on operational risk and compliances, I am very confident that we will soon achieve our next milestone of becoming a free cash flow generating company,” Paytm CEO Vijay Shekhar Sharma had said after the announcement of the quarterly results last week.
As per sources, with the current equity sale, Alibaba exits the Indian market as it had earlier sold its shares in Zomato as well as BigBasket.
Earlier in 2021, Tata Group bought a majority stake in BigBasket, resulting in the exit of Alibaba from the online grocer.
