Valuation of Paytm, arm together set to top $20bn

Bengaluru/New Delhi: Mobile payments company Paytm, along with its e-commerce affiliate Paytm Mall, is putting together a new round of financing, which may see both the companies raise about $2 billion, taking their combined valuation to over $20 billion, according to two sources briefed on the matter. Both companies are promoted by Delhi-based technology entrepreneur Vijay Shekhar Sharma and are backed by Japan’s SoftBank, Chinese e-commerce giant Alibaba and venture capital firm SAIF Partners.
The flagship business Paytm is expected to be valued at $18-20 billion as it is raising a new round of $1-2 billion, said these sources, with final valuation depending on the total capital it raises. The company has got commitments of $800 million to $1 billion from existing backers, SoftBank Vision Fund and Ant Financial, payments affiliate of Alibaba, according to these sources. Paytm was valued at around $10 billion when it last raised $300 million from Warren Buffett’s Berkshire Hathaway in August 2018.