Shares of One97 Communications, the parent company of digital payments giant Paytm, saw a sharp 20% drop on Thursday, hitting the lowest trading limit of the day. This decline followed the Reserve Bank of India's directive to Paytm Payments Bank, a subsidiary, to halt its key services after February 29.
Analysts promptly downgraded the stock in response to the RBI's actions. The central bank's punitive measures are expected to have a significant impact on Paytm's business performance, raising concerns among investors and market observers about the company's future prospects.