Jio Financial Services Surges 15% to Record High Amidst Paytm Wallet Acquisition Buzz; Paytm Shares Plummet Following RBI Restrictions

on

 Jio Financial Services (JFS) witnessed a remarkable surge, with its share price soaring over 15% to achieve a record high on Monday. The spike was fueled by reports indicating that the company was positioned as a leading contender in the potential acquisition of Paytm's wallet business. Jio Finance shares experienced a substantial jump, reaching a peak of ₹295.00 per share on the BSE, reflecting a surge of 16.25%. In contrast, Paytm shares remained locked at a 10% lower circuit, hitting a record low level.




According to a report from Hindu BusinessLine, the parent company of Paytm, One 97 Communications, was reportedly in preliminary discussions with several investors regarding the sale of its wallets business. Sources suggested that Jio Financial Services and HDFC Bank were emerging as frontrunners in the race to acquire Paytm's wallet business.

The downturn in Paytm shares followed the Reserve Bank of India's (RBI) decision to restrict certain operations of Paytm Payments Bank (PPBL) based on a system audit report and subsequent compliance validation report by external auditors.