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Paytm will spend as much as $103 million or $127 million, including all taxes, to repurchase its shares. This approval was given by the company's board on Tuesday.
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The Indian financial services company is trying to calm investors following a turbulent period in which it lost about 60% of its shares.
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The share closed at 538.4 Indian Rupees or $6.53
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Paytm was launched at 2,150 Indian rupees ($26), and has not recovered even half that amount since January 17.
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Paytm reported in a stock exchange filing that the board approved the proposal of the firm to purchase back equity shares fully paid up at a price not exceeding 810 Indian Rupees ($9.82) and spend $ 103 million, excluding taxes and other expenses.
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Buybacks are common and often seen as a way for companies to reward shareholders.
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Many companies have increased their repurchasing of shares to take advantage of falling prices on the global public markets.
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We are confident that we can generate healthy revenues and cash flow to invest in marketing, sales, and technology by looking at the monetization possibilities in our core credit and payment business.
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