PhonePe files for Rs 12,000 crore IPO via confidential route

New Delhi: Walmart-backed fintech company PhonePe has submitted initial paperwork to the Securities and Exchange Board of India (SEBI) for a potential initial public offering (IPO), according to sources.

The company plans to raise Rs 12,000 crore by selling shares held by existing investors like Tiger Global, Walmart, and Microsoft, who could sell about a 10% stake.

While PhonePe confirmed the filing, it noted that it doesn't guarantee an IPO will happen. The company has already hired top banks like JP Morgan, Morgan Stanley, Kotak Mahindra Capital, and Citi as advisors.

In other news, PhonePe recently got approval from the Reserve Bank of India (RBI) to operate as an online payment aggregator. This will help the company expand its services and reach more online businesses, especially small and medium-sized ones (SMEs) across India.

Here's a look at PhonePe’s recent financial performance:

Revenue: Grew by 40.5% to Rs7,115 crore in the 2024-25 fiscal year.

Losses: Narrowed to Rs 1,727.4 crore in FY2024-25 from Rs 1,996.1 crore the year before.

Profit: The company's adjusted profit after tax saw a massive threefold increase to Rs 630 crore in FY2025.

Cash Flow: PhonePe became free cash flow positive in FY2025, with net cash from operations reaching Rs 1,202 crore.

About PhonePe

One of India's top digital payment apps, PhonePe, which uses the Unified Payments Interface (UPI), shared earlier this year that it is getting ready to list on the Indian stock market.

The company has over 600 million users, works with 40 million merchants, and processes more than 310 million online transactions daily, according to a Reuters report.