BUSINESS VALUATION

LAB

UDHAYASANKARI.R (22397160)
COMPANY PROFILE
 Paytm is an Indian multinational financial technology company that
specialize in digital payment and financial services.

 Paytm was founded in 2010 by Vijay Shekar Sharma.

HISTORY
 In 2012, Paytm Gateway
 In 2014, Paytm wallet
 In 2015, Movie ticket, Bill payment, QR code
 In 2016, Flight Ticket
 In 2017, Paytm Payment Bank, Paytm Gold, Event Ticket, Paytm FASTag
 In 2018, First Games, Paytm postpaid, Paytm Money
.
 In 2019, Paytm Soundbox
 In 2020, Paytm Money IPO, Paytm Money IPO, All-In-One PG, All-In-One POS
 All-In-One QR Code
.
 In 2021, Equity Trading, Smart POS
 In 2022, Paytm Soundbox 3.0 (4G)
 In 2023, Paytm UPI Lite, RuPay credit card on UPI, Paytm SBI Card
BUSINESS
MODEL
Driving Revenue Growth Through High Engagement Payments
Business and Cross-Selling Financial Services

1. UPI has emerged as one of the key low CAC customers and
merchant acquisition channels for us.

2. Empowering Consumers With the Widest Range of Payments

Services

3. Leveraging Platform Engagement to Enable Merchant Partners’

Growth

4. Driving Subscription-led Ecosystem for Merchants

 PAYTM UNICORN

In 2015, Paytm became

India’s first fintech
Unicorn.
 PAYTM’s ACQUISTION

2017 2023
2013

2016
2015 2016 2017
PAYTM’s ACQUISTION
2018
 TOP SHAREHOLDER’S OF PAYTM
SHAREHOLDER’S NAME TOTAL’S SHARES HELD SHAREHOLDING(%)
SAIF III Mauritius Company 68,735,489 10.83
Limited
65,335,101 10.29
Resilient Asset Management B V
Antfin (Netherlands) Holding B.V. 62,797,816 9.89

Vijay Shekhar Sharma 57,845,053 9.11

SVF India Holdings (Cayman) 41,018,228 6.46
Limited
Axis Trustee Services Limited 30,970,406 4.88
SAIF Partners India IV Limited 29,180,478 4.60
Mirae Mutual Funds 15,903,720 2.51
Canada Pension Plan Investment 11,212,232 1.77
Board
Bnp Paribas Arbitrage 8,416,807 1.33
PAYTM’s VALUATION
 PAYTM’s VALUATION
Estimated DCF Value of one PAYTM stock is
519.9 INR. Compared to the current market
price of 379.75 INR, the stock is undervalued
by 27%.
 FUNDAMENTAL ANALYSIS
Management discussion and Analysis Industry Overview and Outlook

Macroeconomic Overview • Given the increasing shift towards a cashless economy

 India continues to be one of the fastest growing and user preference for transacting via smartphones,
economies globally, and is expected to grow at mobile payments continue to scale rapidly.
a CAGR of 7-9% over next five years.
• As a result, unique online transacting users, transacting
 Key drivers of economic growth will be (i) rising for services such as online banking, mobile top-ups, in-
consumption, (ii) favorable demographics with a store payments etc. are expected to grow from 250-300
large working population, and (iii) growing million in FY 2021 to 700-750 million by FY 2026.
urbanization.
• Non-cash payment methods remain under-penetrated in
India, when compared to other countries.
• The value of card transactions (credit card + debit
card) remains at c.7% of GDP in FY 2023, lower than
developed countries which have higher penetration at
30%+ of GDP
SWOT ANALYSIS
THANK
YOU