Munish Varma, managing partner at SoftBank, on Tuesday resigned from the board of One97 Communications, the parent firm of Paytm. Varma was a non-executive and non-independent director on the board of the company which owns the Paytm app. The resignation is in keeping with SoftBank’s stated practice of stepping down from the boards of investee companies post a listing.
Following the resignation of Varma, Vikas Agnihotri, his alternate director, also stepped down, Paytm said in an exchange filing.
SoftBank currently holds a 17.4 per cent stake in Paytm, recent shareholding data from BSE shows.
Last week, Reserve Bank of India disallowed Paytm Payments Bank from onboarding new customers.
The central bank’s order has hurt the company’s share price, which crashed to a record low of Rs 585 on Tuesday.
On the NSE, it plunged 12.71 per cent to settle at Rs 589.