One 97 Communications , the parent company of Paytm, has seen a significant increase in stake by Motilal Oswal Mutual Fund through a series of market transactions. The fund house's multiple schemes acquired an additional 26,31,244 shares, representing 0.41% of the company's total voting capital.

Stake Increase Details

The acquisition, completed on August 11, pushed the combined holding of 23 Motilal Oswal schemes from 3,02,80,155 shares (4.75%) to 3,29,11,399 shares (5.16%) in One 97 Communications. This move crosses the 5% threshold, a significant milestone in terms of shareholding.

Participating Schemes

The acquisition involved various schemes managed by Motilal Oswal Asset Management Company Limited, including:

1. Motilal Oswal Nifty Midcap 100 ETF
2. Motilal Oswal Focused Fund
3. Motilal Oswal Midcap Fund
4. Motilal Oswal Flexi Cap Fund
5. Motilal Oswal ELSS Tax Saver Fund
6. Motilal Oswal Balanced Advantage Fund

Among others, totaling 23 different schemes.

Company Overview

One 97 Communications, known for its Paytm brand, is a major player in the Indian digital payments and financial services sector. The company's shares are listed on both the BSE Limited and the National Stock Exchange of India Limited. As of the latest filing, One 97 Communications has an equity share capital of 63,81,02,551 shares with a face value of Rs. 1 each.

Market Implications

This increased stake by Motilal Oswal Mutual Fund could be seen as a vote of confidence in One 97 Communications' business model and future prospects. Such significant purchases by institutional investors often attract market attention and can potentially influence investor sentiment.

Regulatory Compliance

The acquisition was reported under Regulation 29(2) of SEBI (Substantial Acquisition of Shares and Takeover) Regulations, 2011. This regulation requires disclosure when an acquirer's shareholding crosses certain thresholds, ensuring transparency in the market.

As the digital payments landscape in India continues to evolve, movements in ownership of key players like One 97 Communications will likely be closely watched by market participants and industry observers alike.

One 97 Communications Ltd , the parent company of Paytm, witnessed a significant block trade on the Bombay Stock Exchange (BSE). The transaction involved approximately 18.66 million shares of the digital payments giant, highlighting substantial institutional interest in the company.

Block Trade Details

French bank Societe Generale purchased over 67 lakh shares worth Rs 720.00 crore in One 97 Communications through bulk deals at Rs 1,067.50 per share, above the floor price of Rs 1,020.00. Additionally, My Asian Opportunities Master Fund LP bought 35 lakh shares worth Rs 374.00 crore at the same price.

Significant Ownership Changes

The transaction coincided with Antfin (Netherlands) Holding B.V., an Ant Group affiliate, making a complete exit by selling its 5.84% stake representing over 3.72 crore shares. Antfin was the last remaining Chinese shareholder, meaning One 97 Communications now has zero Chinese ownership. This exit removes a major overhang and aligns with regulatory expectations for the company's pending payment aggregator license.

Market Impact

One 97 Communications shares closed 2.3% lower at Rs 1,053.00. The exit of Chinese ownership and entry of new institutional investors may influence the stock's performance in the coming days.

Company's Market Position

One 97 Communications, through its Paytm brand, is a leading player in India's digital payments and financial services sector. The company has been working to strengthen its position in the competitive fintech landscape by expanding its range of services, including payments, banking, and financial products, to drive growth and profitability.

Investor Landscape

Major pre-IPO investors including Alibaba, SoftBank, and Berkshire Hathaway have all exited over the past two years, with Elevation Capital remaining as the only significant pre-IPO investor holding 15.4% as of June.

As the digital payments sector continues to grow in India, One 97 Communications' ability to innovate and adapt to regulatory changes will be crucial in maintaining its market position and attracting investor interest.