Paytm’s $2.5-Billion IPO Mints New Millionaires in India

Indian electronics engineer Siddharth Pandey will become a millionaire after the country’s biggest public offering yet, but says he had to overcome his father’s opposition to join fintech firm Paytm when it was a budding nine years ago. was start-up.

A company source told Reuters that about 350 current and former employees would have a net worth of at least Rs 1 crore ($134,401.38) after Paytm’s $2.5 billion (about Rs 18,589 crore) IPO. Many, like Pandey, will become dollar millionaires on the company’s list next week.

Those rewards are huge in a country where per capita income is less than $2,000 (about Rs 1,48,000).

Pandey, 39, is no longer with the company and is working at another start-up, which he declined to be identified with. But he says that his seven-year term Paytm He had thousands of shares left.

He declined to give details, but the shares were priced at Rs. 2,150 ($28.9) each on Friday. Pandey said he would be worth more than $1 million.

Referring to the time he joined Paytm in 2013, Pandey told Reuters, “My dad was very demotivating. He said, ‘What is this Paytm?!?!

“‘Once upon a time people knew working in a company,’ said my father.

Pandey, who hails from Uttar Pradesh, one of the country’s most populous and poorest states, said, “Now he (my father) is obviously very happy. He has asked me to stick to the ground.”

When Pandey joined Paytm, it was primarily a small payments company with less than 1,000 employees. Today the firm has over 10,000 employees and provides a wide variety of services ranging from banking, shopping, movie, and travel ticketing to gaming.

To celebrate, Pandey says he took his father on a five-day luxury trip to Udaipur, a popular tourist destination in the desert state of Rajasthan, in September, costing around Rs. 4,00,000 ($5,376).

“Paytm has always been a generous payer. Vijay (Sharma, founder of Paytm) always wanted people to make money, move ahead in life,” Pandey said.

Married and with two kids, he says the windfall will allow him to work in startups where he isn’t fully focused on his income or even help him get back into academics. Used to be.

“A part of the money goes to my retirement fund and I will use a large part of it for my children’s education,” he said.

© Thomson Reuters 2021

Disclosure: One97, the parent company of Paytm, is an investor in NDTV’s Gadgets 360.