Vijay Shekhar Sharma, the founder of Paytm, admitted that the company has learned its lessons and that it should have approached its obligations in a different way.
This occurs over five months after Paytm Payments Bank, an affiliate of One97 Communications (OCL) that runs the Paytm brand, was subject to limitations from the Reserve Bank of India (RBI).
Sharma continued by saying that a corporation gains maturity and a sense of responsibility when it becomes a publicly traded company.
We were, in my opinion, maturing, approaching complete profitability, generating free cash, and so forth. There’s no denying that we ought to have performed better from a professional standpoint. We had obligations, and we ought to have performed them far more effectively. Speaking at the eighth JITO Incubation and Innovation Foundation (JIIF), an annual innovation conference in Delhi, Sharma stated, “We learned our lesson.”
Due to chronic non-compliance at the bank, the banking authority imposed severe restrictions on Paytm Payments Bank in January of this year.
The RBI’s directive has affected the majority of the payments bank’s businesses, bringing operations to a complete halt.
The kind of things we have to learn as a technology business is what matters. Simply put, we were absent from those lessons. We can now honestly declare that we have improved greatly from our previous state, Sharma continued.
In 2021, OCL went public on Indian stock exchanges.
The stock debuted at Rs 1,955 per share on the day of listing, with a 9% discount on the bourses.
Not long after, it fell 27% in comparison to the share’s issue price of Rs 2,150.
“Public markets are important because we have an obligation to our shareholders, but they also exist outside of our control.
We as a corporation put a lot of effort into the business market, and the general public will recognise that. All the things that might be overlooked eventually get resolved, Sharma continued.
By the close of business on Friday, the share price of Paytm was Rs 438, indicating a 36.6% decrease in value over the previous half-year.
“We have an investor named Masayoshi Son (CEO of SoftBank), if you ask me. I now know a great deal more about Masayoshi Son and many other extremely wealthy individuals whose stock values crashed and made headlines. Masayoshi, incidentally, lost 99 percent of his wealth—a vastly different amount—and he learned how to deal with it, he said.