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PhonePe has 60 million users and handles 31 crore transactions daily.
American retail legendary company Walmart’s digital payment company Phonpe can file draft papers (Draft Red Herring Prospectus) near SEBI in August for its IPO (Initial Public Offer). According to Bloomberg reports, PhonePe is planning to raise $ 1.5 billion $ 13,014 crore through its IPO.
This IPO is expected to have a valuation of India’s digital payment company PhonePe, about $ 15 billion i.e. about 1.30 lakh crore rupees. Phonpe has chosen big names to manage its IPO, including Kotak Mahindra Capital, JP Morgan Chase, Citigroup and Morgan Stanley.
Name changed to PhonePe Limited before IPO
2 months ago, Phonpe has converted himself from private to public company. The company has changed Phonpe Private Limited to PhonePe Limited on 16 April. This process is part of the legal process required for listing in the Indian stock market. Phonpe started planning for IPO in February.
Earlier, the company shifted its headquarters from Singapore to India in December 2022. Along with this, the company distributed its non-payment business separate subsidiary companies.
Phone
The UPI market in India has increased rapidly, but now its growth is slowing down. In May 2025, UPI recorded 18.68 billion transactions, whose value was Rs 25.14 lakh crore. The PhonePe and Google together handle more than 80% of UPI transactions, while other players like Paytm are behind.
PhonePe is one of the biggest players in the world of digital payment through UPI in India.
What are the challenges in front of Phonpe?
Most of PhonePe’s earnings comes from payments, due to which questions are being raised about its valuation before IPO. For example, Paytm’s market value is $ 6.5 billion and can be compared to PhonePe.
Also, the government has rejected the demand for implementing merchant discount rate (MDR) on UPI transactions, which can challenge the fintech companies in increasing revenue.
Way forward for phonpe
This IPO plan of Phonpe is a big step in the Fintech sector of India. If this IPO is successful, it will give the company a chance to expand further and invest in new areas. Also, Walmart’s strong backing and PhonePe’s hold in the market can make it attractive to investors.
What is phone
PhonePe is one of the biggest players in the world of digital payment through Unified Payments Interface (UPI) in India. In May 2025, PhonePe processed 8.68 billion transactions, whose total value was Rs 12.56 lakh crore. This is about half of the UPI market.
The company has 60 million users and handles 31 crore transactions daily. PhonePe has stepped into financial services not only in payments but also in financial services like credit, insurance and stock-broking, but 95% of its earnings still come from payments.
