Razorpay has taken a major step towards its stock market debut by filing confidential draft papers with the Securities and Exchange Board of India (SEBI).
The Bengaluru-based fintech company submitted its pre-filed Draft Red Herring Prospectus (DRHP) on June 12, according to sources. The company later confirmed the filing through a public notice.
While the company has not disclosed the issue size, reports suggest the offering could be worth $500-600 million, or roughly ₹4,700 crore to ₹5,700 crore.
IPO structure
The proposed issue is expected to comprise:
- A fresh issue of shares.
- An Offer for Sale (OFS).
According to estimates, both components could account for roughly half of the issue size.
The structure would allow the company to raise capital for future growth while providing partial exits to existing shareholders.
Listing likely in 2026
Razorpay is expected to list on Indian stock exchanges in 2026, subject to regulatory approvals and market conditions.
At the time of listing, the company could command a valuation of around $5-6 billion.
The final valuation will depend on investor appetite and market sentiment.
Investment banks appointed
The IPO will be managed by a consortium of investment banks comprising:
- Axis Capital
- Kotak Mahindra Capital
- JPMorgan
- Citi
These institutions will oversee the issue structure and guide the company through the listing process.
Backed by global investors
Razorpay’s shareholders include several prominent global investment firms.
Key investors include:
- GIC
- Tiger Global
- Ribbit Capital
- Peak XV Partners
- Alkeon Capital
- Lone Pine Capital
- TCV
CEO on AI and digital payments
Speaking to CNBC-TV18 during the Global Fintech Festival 2025, co-founder and chief executive officer Harshil Mathur said artificial intelligence could transform commerce and payments over the next five years.
He compared the potential impact of AI with the disruption created by UPI in India’s payments ecosystem.
Mathur said the company is focused on the long-term opportunities from AI rather than immediate revenue generation.
Financial performance
Razorpay reported strong growth during FY25.
Key numbers
- Revenue from operations rose 65 percent to ₹3,783 crore, from ₹2,296 crore in FY24.
- Gross profit increased 41 percent to ₹1,277 crore, compared with ₹906 crore a year earlier.
Growth was driven by:
- Banking services
- Payment gateway business
- Point-of-sale operations
- International business
About Razorpay
Razorpay operates a full-stack payments platform that enables businesses to accept, process and disburse payments.
The platform supports:
- Credit cards
- Debit cards
- Net banking
- UPI
- Digital wallets
It also integrates with wallets including:
- Mobikwik
- Airtel Money
- JioMoney
- Ola Money
- PayZapp
- FreeCharge
TL;DR
Razorpay has confidentially filed draft papers with SEBI for its IPO. The issue could raise ₹4,700-5,700 crore through a mix of fresh shares and an OFS, with the fintech company targeting a 2026 listing and a valuation of $5-6 billion.
AI Summary
- Razorpay has filed confidential IPO papers with SEBI.
- The issue size could be ₹4,700-5,700 crore.
- The IPO may include fresh shares and an OFS in a 50:50 split.
- The company is targeting a 2026 listing.
- Razorpay reported 65% revenue growth in FY25.