India’s largest digital payment company PhonePe has filed new documents i.e. Updated DRHP (UDRHP) for its IPO. Market regulator SEBI has also given approval to list the company in the market. This IPO will be completely ‘Offer for Sale’ (OFS), that is, the company will not issue any new shares. Rather, its old investors will sell their stake. The company is preparing to raise about Rs 12,000 crore through this IPO. Walmart’s stake will be reduced, two big investors will leave. The largest shareholder in PhonePe is American retail company Walmart. It is selling about 9.06% of its stake through this IPO, which is equivalent to 4.59 crore shares. Whereas tech company Microsoft and investment firm Tiger Global will completely exit the company through this IPO. These two companies together will sell about 47 lakh shares. At present, Walmart has about 71.77% stake in PhonePe. Estimate of valuation of ₹ 1.33 lakh crore: According to market experts, PhonePe is targeting a valuation of around $ 15 billion (about Rs 1.37 lakh crore) for this IPO. If this happens, it will be the second largest IPO in the Indian fintech sector after Paytm. The company had submitted draft papers through confidential route in September last year, which has now got the green signal from SEBI. Listing is expected by mid-2026. After getting approval from SEBI, the company will now file RHP with the Registrar of Companies (ROC). It is believed that PhonePe can enter the stock market by mid-2026. Big investment banks like Kotak Mahindra Capital, Citi Bank, Morgan Stanley and JP Morgan are advising for this IPO. Losses reduced, revenue increased by 41%. The company’s financial health has improved before the IPO. PhonePe’s revenue increased by 41% to ₹7,148.6 crore in FY 2024-25, from ₹5,064.1 crore last year. At the same time, the company’s loss has also reduced to ₹ 1,720 crore. The company had recently informed that its adjusted profit excluding ESOP expenses has increased five times to ₹ 630 crore. PhonePe continues to dominate the country’s digital payments market with 45% share in the UPI market. According to the data of December 2025, PhonePe’s market share in terms of UPI transactions is around 45%. The company has more than 60 crore registered users and is providing its services to about 5 crore merchants. Every month about 1000 crore transactions take place on the company’s platform.
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PhonePe files updated DRHP: ₹12,000 crore IPO gets SEBI nod; Walmart will sell 9% stake, Microsoft will exit
