Paytm shares continue to fall for second straight day
Paytm's stock has lost roughly 36% of its value from its initial public offering (IPO) price of Rs 2,150.
On Monday, the second day of trading for the digital payments and ecommerce company, the negative trend for Paytm shares continued unabated.
On the BSE, the shares opened lower at Rs 1,500, after closing at Rs 1,564.15 on Thursday, before falling to a low of Rs 1,370 in the early morning trading session. The new low was 12.41 percent lower than the previous low, which was 27 percent lower than the issue price of Rs 2,150 on its first day of trading.
Paytm's stock was trading at Rs 1,382.70 at 10:30 a.m., down 11.60 percent. In other words, the digital major's stock has lost about 36% of its value, or Rs 767 per share.
Last week, One97 Communications, the parent company of Vijay Shekhar Sharma's Paytm, suffered one of the worst stock market debuts in history, losing more than a quarter of its value on the first day. This was in stark contrast to the recent stock market launches of some of the biggest names in the startup sector.
Nykaa, Zomato, and Policybazaar all saw big gains in their stock prices on the day they went public on the stock market. In addition, these companies received a large response to their initial public offerings (IPOs), which was not the case with Paytm, whose IPO was only 1.89 times subscribed.
Nykaa's IPO, on the other hand, was approximately 82 times subscribed, while Zomato's was nearly 38 times subscribed.