Paymate India Unlisted Share

About the Company

PayMate, established in May 2006, is a leading provider of B2B payments for Enterprises and SMEs across supply chains. The platform offers a digital workflow tied to payments, ensuring better control, transparency, improved cash flows, and end-to-end reconciliation. PayMate has a presence in South Asia (India) and UAE and is actively expanding across CEMEA and APAC.

PayMate partners with major Visa commercial card-issuing banks to streamline credit for payables and receivables, replacing traditional cash, cheque, and EFT with card payments. This offers risk-mitigating benefits for banks and allows buyers more time to pay. The platform boasts features such as Procure to Pay automation, credit assessment, and a discount marketplace. It also provides APIs for seamless integration into existing accounts or ERP systems. Being cloud-based, it's accessible on all devices, ensuring a smooth deployment process.

Product Portfolio

PayMate provides a range of payment automation solutions designed to simplify and streamline payment processes for businesses. These include:

1. Payments Automation: Ensures automatic payment of vendors and taxes before their due date using commercial credit cards.
2. Procure-to-Pay: Facilitates seamless API integrations with existing ERPs, digital approval of procurement tasks, and real-time status tracking for increased efficiency in payment processing and reporting using commercial credit cards.
3. Invoice Discounting Marketplace: An early payment program that enables real-time discount negotiations and seamless ERP integrations, offering suppliers early vendor payments in exchange for invoice discounts and same-day payment processing using commercial credit cards.
4. Credit Engine: AI/ML-driven credit analysis, cash flow and seasonality evaluation, and fully automated, high-accuracy credit assessments for businesses, including SMEs.

Together, these solutions help businesses improve cash flow, reduce processing time, and enhance credit assessment capabilities.

Recent News, RBI Directory: On February 15, 2024, the Reserve Bank of India (RBI) released a statement announcing that card-based business-to-business (B2B) payments, executed through payment intermediaries, have been discontinued due to violations of the Payment and Settlement Systems Act of 2007.

Visa, under its Business Payments Solution Provider (BPSP) program, partners with FinTechs to deliver services that allow B2B payments through card rails. As a result of this directive, FinTech startups like Paymate, EnKash, and others have been directed by Visa to suspend their offerings of business payment services via commercial cards.

Financial Overview

In FY23, PayMate has achieved a remarkable 54.69% Compound Annual Growth Rate (CAGR) in revenue over the last four years, signalling consistent and strong business expansion. PayMate reduced its consolidated net loss by 3.5% to INR 55.7 Cr compared to FY22's INR 57.7 Cr. PayMate also achieved an 11.7% growth in operating revenue to INR 1,350.1 Cr. Expenses increased by 11% to INR 1,407.3 Cr, with 95% attributed to the cost of materials. PayMate invested INR 1,339 Cr in materials, up 11% from FY22's INR 1,207.5 Cr. Employee benefit expenses rose by 1.6% to INR 50.5 Cr from INR 49.7 Cr in FY22. Advertising promotional expenses surged to INR 1.3 Cr from INR 44.7 Lakh in FY22.

Expansionary Plans:  PayMate's performance in FY23 saw a substantial 84.53% surge in customer adoption, exceeding 390,000. PayMate's strong customer base in India and the UAE is expanding to CEMEA and APAC regions. The company recorded a total payment volume of INR 84,519 Cr, reflecting a 21% YoY increase.

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PAYMATE INDIA IPO JOURNEY: (October 2023) PayMate's chairman and managing director, Ajay Adiseshan, recently shared that the company is preparing for an Initial Public Offering (IPO) within the next six to nine months. He pointed out several positive developments contributing to this move, including significant contractual wins, global expansion initiatives, and ongoing implementation and execution activities. The Draft Red Herring Prospectus (DRHP) for PayMate's IPO was initially released on May 30, 2022.2023. He highlighted several positive developments setting the stage for the IPO, including contractual wins, global expansion efforts, and ongoing implementation and execution activities.

The Draft Red Herring Prospectus (DRHP) for PayMate's Initial Public Offering (IPO) was initially released on May 30, 2022.  Fresh issue: ₹1,125 crore & Offer-For-Sale: ₹375 crore.

However, the Securities and Exchange Board of India (SEBI) advised PayMate to refile its IPO prospectus.

PAYMATE SHARE PRICE JOURNEY: On May 1, 2022, PayMate'sshare price was 669. Over the past 52 weeks, the share reached its highest point at 1,180 on January 9, 2023, and its lowest point at 360 on September 4, 2023. The current stock price stands at 490(February 24th, 2024).

The Paymate India Ltd Financial Statements Consolidated 2022-23

The Paymate India Ltd Financial Statements Standalone 2022-23