- In papers submitted to India's market regulator on Thursday, Paytm said it will issue new shares worth 83 billion rupees while existing shareholders will sell shares worth up to 100 billion rupees.
- That would bring the total IPO size to 183 billion rupees ($2.44 billion).
- The start-up is backed by a number of prominent investors like Japan's SoftBank, China's Ant Group and Warren Buffett's Berkshire Hathaway.
Indian digital payments start-up Paytm says it has sufficient capital after raising the size of its initial public offering.
"We don't see any reason for us to raise more money, especially in primary capital, unless there is an extraordinary event," founder and CEO Vijay Shekhar Sharma told CNBC on Friday. "We are well-capitalized, more than well-capitalized for the business plan that we have right now."
In papers submitted to India's market regulator on Thursday, Paytm said it will issue new shares worth 83 billion rupees while existing shareholders will sell shares worth up to 100 billion rupees. That would bring the total IPO size to 183 billion rupees ($2.44 billion).
The company had initially said it planned to raise 166 billion rupees ($2.2 billion) when it announced IPO plans in July. Paytm shareholders were set to sell up to 83 billion rupees of shares at that time.
Paytm's Sharma told CNBC's "Street Signs Asia" on Thursday that he was surprised by the high level of investor interest in the offering. "We increased the size based on the tremendous demand that we saw in our roadshow process," he said.
The IPO will be open for subscription between Nov. 8 and Nov. 10. Paytm plans to price its shares between 2,080 rupees and 2,150 rupees ($27.80 to $28.72) and the company would be looking at a valuation of around $20 billion.
Paytm shares are expected to start trading from around Nov. 18 on the National Stock Exchange of India as well as the BSE.
Sharma also said that there is no timeline set by investors on when the Noida-headquartered company must become profitable or break even.
Paytm started in 2009 as a platform that allowed Indians to pay their bills and top-up their mobile plans.
More than a decade later, the start-up has become ubiquitous in India's digital payments space as millions use the service to pay for everyday items like utility bills, groceries, as well as movie tickets and recharging of mobile connections.
Paytm is also a fully licensed digital bank and has launched insurance, wealth management as well as cloud and commercial services.
When asked if there are any plans to step up expansions abroad, Sharma said Paytm's near-term focus is on India.
"I think our approach is clear — that India is our primary market and the market to win. And we would never divert or put any attention anywhere else at the cost of India," he said.