Paytm employees earn Rs 300 Cr via Esops sale

Existing and former employees of payments and financial services company Paytm have been able to liquidate their vested Esops (employee stock ownership plan) to earn Rs 300 crore ($47 million) during the company's recent secondary share sale, which values the entity at $10 billion.
 
This sale translates into Paytm becoming the second most valuable startup in the country and also paves way for various family offices and a few Western long-hold funds into the cap table, according to a statement.
 
The sale comes after a similar Rs 100-crore employee liquidity event by Paytm early last year. Till now, about 200 employees have been able to sell shares, realising Rs 500 crore.
 
Prior to this round, Paytm was valued at about $7 billion in May 2017 when the company raised $1.4 billion from SoftBank Group.
 
The company, which counts SoftBank, SAIF Partners, Alibaba and Ant Financial as its investors, has burgeoned with multiple products under its One97 umbrella - Paytm Mall, Paytm Payments Bank, Paytm Money and Paytm Wallet.
 
The new $10-billion valuation could also serve as a benchmark when Paytm looks to raise its next round of primary funding, timing for which is not yet decided, said investors tracking the space.
 
One97 Communications had hived off its e-commerce platform into Paytm E-commerce (Paytm Mall), while it became a 49% shareholder in the payments bank business due to regulatory reasons in mid-2016.
 
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