Surge in Foreign Portfolio Investors’ Stake
During the fourth quarter (Q4) of the fiscal year 2023-24, leading fintech company Paytm witnessed a significant surge in the shareholding by foreign portfolio investors (FPIs). The company reported that FPIs acquired an additional 15 million shares during this period, resulting in an FPI shareholding of 20.19% in Q4 FY24.
Mutual Funds Also Boost Their Stakes
Simultaneously, domestic institutional investors, particularly mutual funds, demonstrated a notable increase in their stake in Paytm during Q4 FY24. Mutual funds augmented their stake by 1.17% quarter-on-quarter (QoQ), reaching a total shareholding of 6.15% in Q4 FY24. This rise was primarily attributed to investments made by prominent mutual funds such as Mirae Mutual Fund and Nippon India Mutual Fund.
Market Performance and Closing Figures
Despite the notable increase in investor interest and stakeholding, Paytm experienced a slight decline in its share price on April 9, as it closed 1.95% lower at INR 404.30 on the Bombay Stock Exchange (BSE).
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Fintech behemoth Paytm revealed that it observed a substantial uptick in the participation of foreign portfolio investors (FPIs) during the fourth quarter (Q4) of the fiscal year 2023-24. This surge in FPI activity translated into a notable increase in their shareholding in the company, with FPIs acquiring an additional 15 million shares during the aforementioned period. Consequently, the FPI shareholding in Paytm surged to 20.19% in Q4 FY24, reflecting the growing confidence of foreign investors in the company’s growth prospects and market performance.
Concurrently, domestic institutional investors, particularly mutual funds, also demonstrated a keen interest in bolstering their stakes in Paytm during Q4 FY24. Mutual funds, a significant segment of domestic institutional investors, increased their stake in Paytm by 1.17% QoQ, reaching a cumulative shareholding of 6.15% in Q4 FY24. Notably, this increase in stake was primarily fueled by strategic investments from renowned mutual funds such as Mirae Mutual Fund and Nippon India Mutual Fund, signaling their confidence in Paytm’s business model and potential for future growth.
Despite the favorable investor sentiment and the substantial increase in stakeholding, Paytm experienced a slight dip in its share price on April 9. The company’s shares closed 1.95% lower at INR 404.30 on the Bombay Stock Exchange (BSE), reflecting temporary market fluctuations and investor profit-taking activities.
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