China’s Fintech Ant Group has refuted plans to sell its stake in payment company One97 Communications, which runs e-payment provider Paytm, which is under political strains between two Asian neighbors. On Wednesday, Reuters reported that Ant was considering selling its 30% stake in Paytm directly to the public.
Four people told Reuters that the financial details of the potential transaction had not been redrawn and that Alibaba-backed Payments-to-Consumer Credit Beehome had not initiated a formal sale process to Ant.
Paytm is braced by the SoftBank Group, which also had about $16 billion during its new private fundraising a year earlier. With that quote, Ant’s hold in the Indian firm is nearly $4.8 billion.
Both Ant Group and Paytm misinformed the information. A Paytm spokesperson said that there have never been any deliberations with any of its significant shareholders about selling its stake, and there are no plans.
A Paytm spokesperson said that this information is completely distorted and deceitful. They aim to entrust half a billion Indians with digital financial services and seek the broad fortune presented by the digital economic revolution in their country. They see a breathtaking hike in revenue and accelerate the acceleration of their path.
Ant’s achievable way out from Paytm will mark another turnaround for the Chinese company, which will be the world’s largest, on the heels of a breathtaking interruption of its $ 37 billion stock listing last month.
After failing to launch a mega IPO in the global market presently, Ant is looking to attenuate some of its shares. Strikingly, Ant Financial is broadening support to many of the payment and e-wallet companies as they expect the crowd to grow at this place.
Ant said people contemplating depriving their hold in Paytm due to declining political relations between India and China over the past few months said those whose names were contemplated were privileged.
The countries’ relations are at a rock bottom, with troops locked in the Western Himalayas’ border face-off for months. Since then, India has tightened regulations for China’s investment and has banned lots of Chinese mobile apps in phases.