Vijay Shekhar Sharma led fintech major PayTM's shareholders, have approved a resolution for the company to raise Rs 12,000 crore in fresh shares through an initial public offering (IPO), reports The Economic Times.
The Noida-based company is now expected to file its draft red herring prospectus (DRHP) in the coming weeks to list on the bourses in November 2021.
In addition to the fresh shares worth Rs 12,000 crore, the IPO is also expected to have a secondary element of around Rs 4,600 crore. This plan is likely to take the total offer size to Rs 16,600 crore.
The company is likely to seek a $24-30 billion valuation, which would be significantly higher than the $16 billion valuations achieved during its last fundraise.
Meanwhile, it should be noted that the company's shareholders have also approved the declassification of founder and chief executive Sharma as a promoter to ease compliance requirements. Sharma, however, will continue to serve as the managing director and chief executive officer (CEO).