PhonePe eyes a $10.5 billion valuation for its upcoming IPO in April 2026. Check the issue size, Walmart stake sale details, and latest financial performance here.
PhonePe is gearing up for its mega IPO next month! The Walmart-backed payments giant is reportedly targeting a valuation between $9 billion and $10.5 billion. With SEBI approval already in hand, this could be India’s second-largest fintech IPO after Paytm. Read more about the issue size, seller details, and what this means for investors.
PhonePe IPO News: India’s leading digital payments app, PhonePe, is moving fast toward its stock market debut. According to the latest reports, the company is aiming for a valuation of $9 billion to $10.5 billion (approx. ₹75,000 crore to ₹87,000 crore) for its Initial Public Offering (IPO), which is likely to launch in April 2026.
Lower Valuation Than Before?
Interestingly, this target is slightly lower than the $12 billion valuation PhonePe had during its funding round in 2023. Experts suggest this is a strategic move to keep the pricing attractive for new investors, given the current market conditions and the lessons learned from previous large fintech listings.
Key Details of the PhonePe IPO:
Issue Type: The IPO will be a 100% Offer for Sale (OFS). This means the company is not raising new money for itself; instead, existing shareholders are selling their stakes.
Major Sellers: Big names like Walmart, Tiger Global, and Microsoft are expected to sell part of their holdings.
Issue Size: The company is reportedly looking to raise around $1 billion (approx. ₹8,300 crore to ₹9,000 crore) through this sale.
Market Position: PhonePe currently dominates the UPI market in India, handling nearly 45-50% of all UPI transactions.
Financial Performance
PhonePe has shown strong growth in its numbers. Its revenue for FY25 jumped to ₹7,115 crore, a 40% increase compared to the previous year. While the company is still reporting losses, it has achieved a major milestone by turning Free Cash Flow positive, which is a great sign for long-term sustainability.
What Should Investors Do?
Since this is a pure "Offer for Sale," no fresh capital will enter PhonePe’s business. However, as the clear leader in the UPI space with over 65 crore registered users, PhonePe is a massive player in India's digital economy. Investors should keep a close eye on the final price band and the Grey Market Premium (GMP) once the official dates are announced next month.