Report Wire - New IPO: PayMate India to refile DRHP after receiving closing nod from RBI for fee aggregator licence

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New IPO: PayMate India to refile DRHP after receiving closing nod from RBI for fee aggregator licence

3 min read
The grey market is an unofficial market wherein traders buy or sell IPO shares and applications even before they are officially launched for trading on the stock exchange. (Image by Gerd Altmann from Pixabay)

(PTI) Fintech participant PayMate India on Tuesday mentioned it can refile the draft IPO papers with markets regulator Sebi after receiving closing authorisation from the RBI to function as a web based fee aggregator (PA).

It obtained in-principle approval from RBI for the fee aggregator authorisation in December.

PayMate India was requested by the Securities and Exchange Board of India (Sebi) to refile the paperwork for the Initial Public Offering (IPO) with sure updates. The transfer might delay the corporate’s preliminary share sale.

According to sources, the corporate was requested to replace DRHP with closing fee aggregator authorisation and different materials updates if any.

“Following our receipt of in-principle approval from RBI for the Payment Aggregator (PA) authorisation recently. We will be in a position to submit the mandatory SAR (System Audit Report) by the first or second week of February,” the corporate mentioned in an announcement.

SAR is part of the usual working protocol to get the ultimate authorized PA authorisation from the Reserve Bank of India (RBI).

“We are confident of a quick turnaround by RBI, and thereafter refiling DRHP with relevant updates along with the RBI final approval,” PayMate India mentioned.

PayMate India had filed the Draft Red Herring Prospectus (DRHP) for a ₹1,500 crore IPO with the Sebi in May 2022.

The proposed IPO includes a contemporary situation of fairness shares value ₹1,125 crore and an Offer-For-Sale (OFS) of ₹375 crore by promoters, buyers and different shareholders.

The firm’s promoters — Ajay Adiseshan and Vishvanathan Subramanian and buyers — in addition to Lightbox Ventures I, Mayfield FVCI Ltd, RSP India Fund LLC and IPO Wealth Holdings are to promote shares by means of the OFS.

Besides, sure current shareholders are providing to dump shares by means of this route.

Currently, the promoter and promoter group maintain 66.70 per cent stake within the firm and the remaining is with public shareholders.

According to an replace on Sebi’s web site on Monday, the regulator returned the corporate’s DRHP on January 17, 2023, with recommendation to refile it publish relevant updates/revisions.

PayMate is a multi-payment class platform that comes with vendor funds, statutory funds, and utility funds, giving its clients a fully-integrated B2B fee stack.

The platform additionally permits customers and their distributors, suppliers, consumers, sellers, and distributors to make use of industrial bank cards to make statutory funds of direct taxes and GST in addition to utility funds.

Visa has a partnership with PayMate. It can also be a shareholder in PayMate, proudly owning 2.94 per cent of the absolutely diluted paid-up fairness share capital.

Earlier this month, Sebi returned the draft IPO papers of home-grown cell maker Lava International and Oravel Stays Ltd, the mother or father firm of travel-tech agency OYO, and requested them to refile the paperwork with sure updates.


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An IPO is the method by which a non-public firm can go public by providing its inventory to most of the people for the primary time.

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