Paytm Plans To Launch $3 Billion IPO In What Would Be India’s Largest Debut

If successful, Paytm's initial share sale would surpass Coal India Ltd.'s offering, which raised more than Rs 15,000 crore in 2010 in the country's largest IPO so far.

Paytm, India's leading digital payments provider, is aiming to raise about Rs 21,800 crore in an initial public offering late this year, according to a person familiar with the deal, in what could be the country's largest debut ever. The startup, backed by investors including Berkshire Hathaway Inc., SoftBank Group Corp. and Ant Group Co., plans to list in India around November and its offering could coincide with the Diwali festival season, said the person, asking not to be named because the details are private. Paytm, formally called One97 Communications Ltd., is targeting a valuation of around $25 billion to $30 billion. The One97 board plans to meet this Friday to formally approve the IPO, said the person. Paytm declined to comment in response to emailed questions. If successful, Paytm's initial share sale would surpass Coal India Ltd.'s offering, which raised more than Rs 15,000 crore in 2010 in the country's largest IPO so far. Banks shortlisted to run the Paytm offering include Morgan Stanley, Citigroup Inc. and JPMorgan Chase & Co., with Morgan Stanley the leading contender, the person said. The process is expected to get rolling in late June or early July. The banks did not immediately respond to requests for comment.