Paytm prices have been declining for over 70 % since its listing in November 18, 2021. The issue price of the shares were Rs. 2150 a piece.
Shares of One 97 Communications Ltd — parent company of fintech platform Paytm — hit a new all-time low of Rs 672 per share after falling 12% in early trade on Monday.
The recent decline in the price of shares is due to a ban imposed on the Paytm Payments Bank by the Reserve Bank of India (RBI). RBI mentioned "material supervisory concerns" but hasn't revealed any details.
The RBI has asked the Paytm Payments Bank to choose an IT audit firm to administer a comprehensive audit of its system.
Getting new customers onboard the bank platform would only be possible once the review of the audit report is done by RBI.