Paytm's pre-IPO challenges🤨
China's tech crackdown, FM Nirmala Sitharaman launched NMP, Ola has plans to go public, and more.
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Court gives police 3 weeks to conclude Paytm ownership inquiry👮🏻♂️
A Delhi court has given the police three weeks to wrap up an investigation into a former Paytm director's claim that he co-founded the digital payments startup but never received the shares he was entitled to. This comes ahead of Paytm's IPO later this year, which is likely to be one of the largest in India's history.
Quick recap: In February, Ashok Kumar Saxena, an Indian national living in the United States, accused the company's creator, Vijay Shekhar Sharma, of misappropriating his funds. He requested a major interest in Paytm's parent company, One97 Communications, as well as a board position and cofounder designation.
What's at stake: According to corporate governance experts, the legal battle might potentially postpone the approval of Paytm's IPO.
China's tech crackdown will benefit Indian startups😇
Last year, as China tightened its FDI rules for Chinese investors, Indian startups faced the possibility of capital drying up. Now, a year later, India's startup environment is likely to benefit substantially from China's technology sector crackdown, as investors hunt for safer investments.
Chinese investors have been diluting their shares in Indian firms over the last year. For example, before going public last month, Zomato diversified its investor pool by bringing in new investors such as Tiger Global, while BigBasket was acquired by Tata Digital in May, giving Alibaba Group an exit.
China's crackdown on its IT sector is now likely to encourage investment in India's tech startups, which have already received record sums from private equity and venture capital firms this year.
Hot Shorts ⚡
Coinbase co-founder Brian Armstrong announced that the company has gained board approval to buy over $500 million in cryptocurrency on its balance sheet and invest 10% of its quarterly profit in cryptocurrency going ahead.
Finance Minister Nirmala Sitharaman launched the National Monetisation Pipeline (NMP) on Monday, which is expected to generate Rs 6 lakh crore in revenue for the government over the next four years, until FY25.
Ola and Ola Electric plans to go public next year📊
Indian ride-hailing aggregator Ola has plans to go public sometime next year, but a final date for the initial public offering (IPO) is yet to be decided, said chairman and group CEO Bhavish Aggarwal.
Both Ola and Ola Electric, the electric mobility arm of the group, have adequate capital and balance sheets and will go public in due course, Aggarwal told CNBC, adding that the company has not announced any IPO plans as of yet. Aggarwal stated that Ola will be the first to go public since it is a more mature business.
Bloomberg reported earlier this week that Ola had begun talks with investment bankers to arrange its upcoming IPO.
Tweet of the day🐥
✅ Paytm and HDFC Bank enter into a strategic partnership to launch financial products.
✅ Visa Takes the First Step Into NFTs With CryptoPunk Purchase for Almost $150K. Visa bought CryptoPunk 7610, one of 3,840 "female" punks.
Worrying about things you have no control over is always a waste of time.
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