Paytm's share price saw a notable increase on Tuesday, climbing 5.34% to reach Rs 700.70 on the Bombay Stock Exchange (BSE), with the stock hitting a high of Rs 700 on the National Stock Exchange (NSE). The stock saw significant trading activity, with over 62 lakh shares changing hands on the NSE, resulting in a turnover of Rs 427.60 crore.
This surge in Paytm's stock price occurred despite a generally weak broader market, where three stocks fell for every two that rose on the BSE. Paytm's performance came alongside an announcement from the company that its Nomination and Remuneration Committee had approved the grant of 109,995 stock options to eligible employees under the One 97 Employees Stock Option Scheme (ESOP) 2019. The board also acknowledged the lapse of 4,11,931 stock options.
Recently, Paytm was in the spotlight due to a show-cause notice from the Directorate of Enforcement, alleging violations of the Foreign Exchange Management Act (FEMA) related to investment transactions. These pertain to acquisitions made between 2015 and 2019, but Paytm emphasized that the issue does not affect its operations or services to consumers and merchants.
In a separate update, Paytm highlighted that its focus remains on expanding its payment and financial services. The company continues to process significant transaction volumes through UPI and cards, with UPI accounting for 80% of its transactions. The company also noted that its share of payment devices in the offline segment consists of 90% sound boxes and 10% card machines.
Furthermore, Paytm’s Remuneration Committee approved amendments to its ESOP scheme, aiming to enhance performance-linked rewards and long-term value creation, in line with industry practices and the company’s strategic goals.
