Vijay Shekhar Sharma, CEO of Paytm, has set an ambitious goal to transform Paytm into a "$100 billion company" as his company hopes to bounce back from its recent regulatory setbacks.
Speaking at the 7th JIIF foundation day in Gurugram, Sharma stated that despite the setbacks in the recent months, Paytm is on the right trajectory for sharp growth.
“I have a personal ambition to make Paytm a $100 billion company,” he said hoping to make the payments service provider a globally recognised brand.
Also Read: Why Paytm Shares Have Recovered Some Ground
The aftermath of his speech on July 6, saw the shares of One 97 Communications, the parent entity of Paytm, shoot up by 9 per cent during the early trading hours on Monday.
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His comments are set against the backdrop of Paytm loosing a nearly 50 per cent of its market capitalisation compared to the start of 2024 as its payments banking arm- Paytm Payments Bank Ltd (PPBL) was shut by RBI over its failure on regulatory compliances.
The RBI issued a directive to PPBL in January 31, preventing it from accepting any new fresh deposits.
“We should have done better, there are no secrets about it. We should have understood better…. We had responsibilities, we should have fulfilled much better,," he said commenting on the situation.
Paytm is recuperating from its setbacks by pruning non-core assets and focusing on distribution model, with emphasis on the next big opportunity in cross-sell, particularly credit for small businesses.
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"The dividend of the mobile payment revolution is credit," Sharma said, further stating that “we envision providing loans ranging from as little as Rs 1000 to millions, fostering economic inclusivity at scale."
Appreciating the guidance from Indian bankers, he underscored their crucial role in shaping Paytm's trajectory as it navigates the complexities of becoming a publicly listed entity.
“Bankers suggestion (public listing) is very important. We under estimate Indian bankers while taking our business model public,” he said.
Paytm shares have surged in the last one month as the management tries to recover the losses incurred post the action on its payments back. The scrip has surged by over 21 per cent in the last one month to reach Rs 472.95. While it has recovered some ground, it's still far from the price of Rs 646 where it started 2024.
