BENGALURU: Paytm shares rose on Tuesday, reversing a three-day rout triggered by a regulatory order to halt business at its banking unit that had cost shareholders around $2.5 billion.

The stock had hit a record low early in the session after Reuters reported India’s federal anti-fraud agency was investigating if platforms run by the company have been involved in violations of foreign exchange rules.

The stock fell as much as 9.9% to a record low of 395 rupees ($4.76) on the National Stock Exchange before reversing course to last trade up 4.3% at 457 rupees.

India’s Paytm nears record low, market value down about $2.5bn since RBI crackdown

As of Monday, Paytm shareholders lost $2.5 billion after the central bank last week ordered Paytm affiliate Paytm Payments Bank to wind down most of its business, including deposits, credit products and its popular digital wallets, by Feb. 29.

A Paytm spokesperson denied any violations of foreign exchange law, calling allegations “unfounded and factually incorrect.”

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