Paytm stock hits lower circuit after it shifts focus to big ticket loans
Dec 7, 2023, 17:34 IST
New Delhi, Shares of One97 Communications, parent firm of Paytm, settled 19 per cent lower on Thursday, a day after the company announced it will focus on high-ticket lending and go slow on loans that are less than Rs 50,000. The scrip of the company nosedived 18.74 per cent to close at Rs 660.70 apiece on the NSE.
On the BSE, Paytm shares tumbled 18.69 per cent to end at Rs 661.30 per share.
During the day, the scrip of Paytm plunged 20 per cent to hit the lower circuit of Rs 650.65 and 650.45 per piece on BSE and NSE, respectively.
On the volume front, 3.68 crore shares were traded on the NSE, and 48.50 lakh shares changed hands on the BSE, during the day.
At the end of the session, the 30-share BSE Sensex fell 132.04 or 0.19 per cent lower to settle at 69,521.69 points, while Nifty slipped 36.55 points to 20,901.15.
On Wednesday, One97 Communications, which operates under the Paytm brand, said it will focus on high-ticket loans and go slow on loans that are less than Rs 50,000.
"We are seeing better performance on the merchant side than the consumer side.
"We will try to do a lot more there. Our focus now on the calibration of business is on high ticket, slowing down to less than Rs 50,000," Paytm's President and Chief Operating Officer Bhavesh Gupta said at an analyst call on Wednesday.
He said postpaid loans will gradually start reducing in the overall lending business.
The company acquires 3.5-4 lakh new postpaid loan customers on an average every month, out of which around 70 per cent opted for borrowing of less than Rs 50,000.
Advertisement
On the BSE, Paytm shares tumbled 18.69 per cent to end at Rs 661.30 per share.
During the day, the scrip of Paytm plunged 20 per cent to hit the lower circuit of Rs 650.65 and 650.45 per piece on BSE and NSE, respectively.
On the volume front, 3.68 crore shares were traded on the NSE, and 48.50 lakh shares changed hands on the BSE, during the day.
At the end of the session, the 30-share BSE Sensex fell 132.04 or 0.19 per cent lower to settle at 69,521.69 points, while Nifty slipped 36.55 points to 20,901.15.
Advertisement
"We are seeing better performance on the merchant side than the consumer side.
"We will try to do a lot more there. Our focus now on the calibration of business is on high ticket, slowing down to less than Rs 50,000," Paytm's President and Chief Operating Officer Bhavesh Gupta said at an analyst call on Wednesday.
He said postpaid loans will gradually start reducing in the overall lending business.
The company acquires 3.5-4 lakh new postpaid loan customers on an average every month, out of which around 70 per cent opted for borrowing of less than Rs 50,000.