PhonePe targets to raise $1.5 Bn via IPO: Report

Fintech decacorn PhonePe is reportedly planning to file preliminary documents for an initial public offering (IPO) targeting as much as $1.5 billion.

According to a Bloomberg report, PhonePe will target a valuation of $15 billion as it aims to submit draft papers (DRHP) by August 2025.

Led by Sameer Nigam, PhonePe last secured $100 million in December 2023 as part of a $1 billion funding round, at a pre-money valuation of $12 billion. Walmart remains the majority shareholder, while other notable investors include Microsoft, General Atlantic, Tiger Global, Ribbit Capital, TVS Capital, Tencent, and the Qatar Investment Authority.

PhonePe is the largest player in the UPI ecosystem, processing over 310 million UPI transactions daily and commanding over 46.7% of the market share by transaction volume. The company reported revenue of more than Rs 5,000 crore in FY24, while reducing losses by 28.6% to Rs 1,996 crore in the same period.

PhonePe had already relocated its domicile from Singapore to India in October 2022, ahead of its shift toward independence from Flipkart.

Besides payments, which command the majority of PhonePe’s revenue, the company has also expanded into credit, insurance, and stockbroking.