Stake sale · Financial Services

Mutual funds cut Paytm stake in Q3

By Startup Enthusiast · 4 February 2026

What they do

Paytm provides digital payments, banking, and financial services in India

Mutual funds reduced their combined stake in Paytm to 14.34% in Q3 FY26 from 16.25% in Q2

Insurance companies and AIFs increased their holdings, while Elevation Capital sold shares worth ₹1,556 crore

Mutual funds cut their combined stake in Paytm to 14.34% across 36 schemes in Q3 FY26.
This was down from 16.25% across 40 schemes in Q2 FY26.
Motilal Oswal Midcap Fund sold over 38 lakh Paytm shares during the quarter.
Nippon Life reduced its Paytm holding by nearly 30 lakh shares.
Bandhan Large & Midcap Fund's stake in Paytm fell below 1%.
Elevation Capital sold Paytm shares worth ₹1,556 crore on November 18.
Societe Generale acquired part of Elevation Capital's stake in a bulk deal worth ₹423.45 crore.
Foreign direct investment in Paytm declined by over 2 percentage points to 25.18% in the December quarter.

Insurance companies bought over 2% stake in Paytm during the quarter, lifting their combined holding to 4.77%.
SBI Life Insurance's stake in Paytm crossed the 1% mark.
Alternative Investment Funds (AIFs) raised their stake to 1.2% via 61 funds in Q3 FY26, from 0.97% via 43 funds in Q2.
Paytm shares rose nearly 18% in Q3, hitting a 52-week high of ₹1,381.75 on December 2.
Paytm posted a consolidated net profit of ₹225 crore in Q3 FY26, versus a loss of ₹208 crore a year earlier.

Paytm is a digital payments and financial services platform based in Noida, India.
It offers mobile payments, banking, insurance, lending, and wealth management services.
Paytm earns revenue through transaction fees, merchant commissions, and financial product distribution.
The company operates across India with millions of merchants and users.
Paytm reported operating revenue of ₹2,194 crore in Q3 FY26, up 20% year-on-year.

Elevation Capital (seller) — Existing investor that sold shares worth ₹1,556 crore.
Societe Generale (buyer) — Acquired part of Elevation Capital's stake in a bulk deal worth ₹423.45 crore.