T Rowe Price Communications and Technology Fund has valued its investment in One97 Communications (operates under brand name Paytm) at USD 82,16,610 for 32,222 shares, according to a SEC filing of the company.
This implies that the value of each Paytm share was USD 255 as on September 30, 2020.
The mutual fund company had earlier cut down the valuation of Paytm to USD 188 a share due to the impact of the COVID-19 pandemic.
When contacted, Paytm spokesperson said, “We see strong traction in our business across digital payments, consumer internet, merchant services and financial services. We are thrilled and motivated with all our shareholder’s support that Paytm has always enjoyed. This has helped us in creating India’s home-grown digital champion.”
T Rowe Price had invested at least USD 150 million in Paytm in December 2019.
The Paytm spokesperson added that every investor who has ever invested in Paytm has held on to the shares for at least 5 years and has always sold it at a profit.
Paytm’s financial year 2020 revenue has increased to Rs 3,629 crore, even as cash burn has reduced by over 60 per cent in the last 18 months. PRS MKJ