Paytm founder Vijay Shekhar Sharma will buy a 10.3% stake from an affiliate of China’s Ant Group Co., according to a regulatory filing.
Sharma, who is also chief executive officer of Paytm-parent One97 Communications Ltd., will increase his holding in the company to 19.42%, while Antfin’s stake will drop to 13.5%.
Sharma took the digital payments pioneer public in 2021 only to see the shares plummet in one of the worst performances for a major initial public offering. Shares closed Friday at 796.6 rupees, compared with the 2,150 rupee offering price.
Paytm’s shares have rallied 50% this year so far.
“As we announce this transfer of ownership, I would like to express my sincere gratitude to Ant for their unwavering support and partnership over the past several years,” Sharma said in statement.