Updated February 6th, 2024 at 09:49 IST
Paytm stock hits all-time low amid reports of forex violations probe
The stock plummeted by up to 9.9% to touch a record low of Rs 395 on the BSE before recovering slightly to trade down 6%.
Paytm downfall continues: Paytm shares continued their downward spiral for the fourth consecutive session on Tuesday, following reports from Reuters that Enforcement Directorate (ED) is investigating potential violations of foreign exchange rules by platforms affiliated with the company.
The stock plummeted by up to 9.9 per cent to touch a record low of Rs 395 on the Bombay Stock Exchange (BSE) before recovering slightly to trade down 6 per cent.
Investors in Paytm have witnessed major losses, with estimates reaching up to $2.8 billion since the central bank's directive last week, which mandated Paytm affiliate Paytm Payments Bank to wind down the majority of its operations, including deposits, credit products, and its widely-used digital wallets by February 29.
A spokesperson for Paytm has refuted allegations of any breaches of foreign exchange regulations, dismissing the claims as “unfounded and factually incorrect.”
As of 9:32 am, shares of Paytm were trading 1.78 per cent higher at Rs 446.15 per share.
(With Reuters Inputs)
Published February 6th, 2024 at 09:35 IST