PhonePe To File Draft IPO Papers By August, Eyes $15 Bn Valuation
Walmart-owned fintech major PhonePe is gearing up to file its draft red herring prospectus (DRHP) by August 2025, aiming to raise $1.5 Bn via its much-anticipated IPO, which will value the company at $15 Bn, according to a Bloomberg report.
Key Highlights of PhonePe’s IPO Plan
- Investment banks Kotak Mahindra, Citigroup, and Morgan Stanley have been finalised to manage the IPO process.
- The IPO will mark a 25% increase from PhonePe’s last private valuation of $12 Bn, attained in May 2023 after a $100 Mn investment from General Atlantic.
- Once listed, it would be the second largest IPO in India’s fintech space, after Paytm’s $2.4 Bn listing.
Timeline and Progress So Far
- February 2025: PhonePe publicly confirmed IPO plans but didn’t disclose specifics.
- April 2025: Converted into a public company, paving the way for its stock market debut.
- December 2022: Redomiciled from Singapore to India, making IPO preparations viable.
Financial Snapshot
Despite rapid growth, PhonePe remains a loss-making entity, though its losses have narrowed:
- FY24 Loss: ₹1,996 Cr (down 28% from ₹2,795 Cr in FY23).
- Operating Revenue FY24: ₹5,064 Cr (up 74% YoY).
- Excluding ESOP costs: Profitable with ₹197 Cr profit in FY24.
India’s Fintech IPO Wave
PhonePe joins a growing list of Indian fintech players preparing for public listings:
- Paytm: Raised $2.4 Bn in 2021, India’s largest startup IPO.
- MobiKwik: Raised ₹572 Cr in 2024.
- Groww: Filed IPO papers confidentially.
- Pine Labs: Expected to file IPO papers soon.
Additionally, Flipkart, another Walmart-owned Indian giant, is eyeing a $60 Bn to $70 Bn IPO, making the retail behemoth’s India strategy more visible.
With PhonePe’s IPO in the pipeline, India’s fintech and consumer tech IPO landscape is set for another landmark moment.
