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News Topical, Digital Desk : A unit of Chinese e-commerce giant Alibaba Group, is now going to sell its approximately 4% stake in Indian digital payment company Paytm (One97 Communications). The deal is estimated to be worth ₹2,200 crores and will be done in the market through a block deal. The company's stock closed at Rs 863 on May 12, 2025, up 4 per cent.

ANTFIN (Alibaba Group's unit) may sell its stake. This deal can happen for ₹2,200 crores. This is about 4%. Floor price: ₹809.75 per share. (This floor price can be at a slight discount to the current market price)

What does it mean - This deal of ANTFIN can be a part of Alibaba's exit strategy from India. Due to the reduction in foreign stake in Paytm, domestic investors will get a chance to increase their stake. This may put pressure on Paytm's stock in the short term, but after the deal is completed, the stock may return to stability. What will happen to Paytm's stock? With the floor price being around ₹809.75, a slight decline in the stock is possible. After the deal, FII selling pressure on the stock may reduce, making the situation favorable for long term investors. Selling 4% stake in Paytm by ANTFIN is a major exit move, which can bring temporary volatility in the market. However, increased participation of domestic investors can provide Paytm with policy stability and investor confidence in the long run. 


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