Representative Image (Image: Reuters)One97 Communications which owns and operates online payments firm Paytm has called an extraordinary general meeting (EGM) on July 12 to seek approval to raise Rs 12,000 crore through fresh issue of shares during its initial public offering (IPO). The company will also decide if founder and chief executive Vijay Shekhar Sharma can be declassified as the promoter.
Besides deciding on the total number of equity shares that need to be reserved for allocation to eligible categories of investors, amendments to the Employees Stock Options Scheme is also on the cards.
The company will also consider the revision of the Articles of Association (AOA).
Paytm had received in-principle approval from its board to go for a $3 billion initial public offering (IPO), making it the biggest in India’s history a few weeks ago.
The proposed IPO is likely to have a combination of fresh issues of equity shares as well as an offer for the sale of equity shares by existing shareholders of the company.
Among Paytm shareholders, Alibaba’s Ant Group has 29.71 percent of its shares, while Softbank Vision Fund, Saif Partners, and Vijay Shekhar Sharma consist 19.63 percent, 18.56 percent, and 14.67 percent shares, respectively.