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Paytm's Costly IPO Decision

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Created December 16, 2025

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Video Transcript

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Paytm didn’t fail because of losses. It failed because of one rushed decision. In 2021,

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Paytm chose to go public at the highest possible valuation— before fixing its business model.

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Digital payments were booming. Tech IPOs were euphoric. Investors were chasing future stories,

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not profits. But Paytm wasn’t a tech monopoly. It was a payments middleman—

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burning cash with no clear path to profitability. The IPO launched. ₹2,150 per share.

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India’s biggest startup listing ever. Within months, the stock collapsed.

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Billions in value wiped out. Retail investors trapped at the top. The real damage

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wasn’t money. It was trust— once broken, markets don’t forgive easily.

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