Paytm Mall loses its unicorn status

• Paytm Mall was launched in 2016 as a hyperlocal offline-to-online (O2O) business.
• The company competed with Amazon, Flipkart and Snapdeal.
• Paytm too lost nearly $9 billion in valuation after its public listing.

Paytm Mall — the ecommerce arm of digital payments giant Paytm — is now valued under $1 billion, as per the latest Hurun List. The company was valued at $3 billion in 2020, the report further added.

Eight other companies, mostly from China, also lost their unicorn status this year. A unicorn, in startup parlance, is a company valued above $1 billion.

Company	Valuation in 2020	Country	Sector
Katerra	$4 billion	USA	Construction
Zume	$4 billion	USA	Big Data
Greensill	$3.5 billion	UK	Fintech
Paytm Mall	$3 billion	India	Ecommerce
Singulato	$3 billion	China	E-cars
UCAR	$3 billion	China	Shared economy
Yiguo	$3 billion	China	Ecommerce
Yixia	$3 billion	China	Media and entertainment
Youxia	$3 billion	China	E-cars

Source: Hurun Global Unicorn Index 2021

Business Insider has reached out to Paytm seeking comments on the dip in valuation.

Paytm Mall was launched in 2016 as a hyperlocal offline-to-online (O2O) business and it turned into a unicorn in 2018 after raising nearly half a billion from SoftBank and others. The company was valued at $2.86 billion in 2019, when it raised funding from eBay.

The company competes with Amazon, Flipkart and Snapdeal, which filed its preliminary papers for an initial public offering (IPO) earlier this week.

	FY2018	FY2019	FY2020
Revenue	₹775 crore	₹968 crore	₹703 crore
Net Loss	₹1,806 crore	₹1,171 crore	₹479 crore

Source: Paytm Mall’s financial statements

Even One 97 Communications — the parent company of Paytm — witnessed an errorion of nearly $10 billion dollars from its valuation on the second day of its listing on the stock market. The company was valued at $19.9 billion in its public issue, but its valuation went down to $10 billion when its share prices touched ₹1,200 apiece.

The company currently sits at a market cap of ₹88,174 ($11.69 billion) and its shares are trading at ₹1,355 apiece.

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