Ant is an affiliate of Chinese e-commerce giant Alibaba, which sold $125 million worth of shares in Paytm last month.
Chinese fintech major Ant Group has resigned as a non-executive and non-independent director of Pytm’s board, according to a regulatory filing.
Ant is an affiliate of Chinese e-commerce giant Alibaba, which sold $125 million worth of shares in Paytm last month. Both Alibaba and Ant have a 28 percent stake in Paytm.
“Paytm’s journey towards profitable financial services in India has been encouraging. “Due to the company’s growth as a publicly listed company and recognizing the maturity of the business, I have resigned as a director of Paytm’s board of directors at the request of a prospective shareholder,” the regulatory filing quoted Feigin as saying. He is saying.
In the year In 2015, Alibaba and Ant Financial became the largest shareholders in Paytm when they invested $680 million for a stake of over 44 percent.
Fintech founder and CEO Vijay Shekhar Sharma said in Davos last month that Alibaba was not a strategic shareholder for Paytm.
Speaking to CNBC TV18 on the sidelines of the World Economic Forum, Sharma said the company did not anticipate the sale – and that it could have been better planned.
“Alibaba was not a strategic shareholder for us. Alibaba and Paytm were never in business together… The exit could have been better planned, but it is,” he said.
While a strategic shareholder has a business relationship with an investee company, a financial investor only bets on returns.
Paytm is currently trading at Rs 527 each on the BSE, down 75 percent from its initial public offering price.
