Payments

A few days ago, the one-year lock in period on ~86% of outstanding Paytm shares expired - and this has caused the stock to drop to an all-time low. Paytm is down ~70% since its IPO and the company is now worth just Rs 30000 crores.

Paytm released its Q4 earnings late last month - the company's 2nd quarterly earnings release since going public in November last year. Paytm ended the year with strong numbers - revenue grew to ~5K crores (YoY growth of 77%).

It's been ~2 months since the Paytm IPO - the largest IPO India has ever seen. The company raised 18300 Crores at a $20 billion valuation. Unfortunately, Paytm's share price has been in free fall mode since it IPO'd, leading to some panic and disappointment among investors.

While what comes to mind when one hears 'Fintech' is digitalization - this week we look at how digital-ready Bharat really is. Cash usage, while on the decline with the rapid rise of UPI & other payment methods, is still high at an absolute level - 70% of retail transactions in FY20 were in cash!

MobiKwik filed its DRHP with SEBI to raise Rs.1900 Crores via an initial public offering. This week, we look at what one can learn from MobiKwik's DRHP about their business model, and about the economics of a payments-first business model.

Our update this week dives into 3 digital trends from FY21, read on.

This week, we take a look at the digital payment study published by RBI.