Fintech leader PhonePe has officially transitioned from a private entity to a public company, marking a major step toward its highly anticipated initial public offering (IPO). The move brings PhonePe one step closer to listing on Indian stock exchanges, a plan the company began executing earlier this year.
According to Moneycontrol, PhonePe communicated its change in corporate structure to the Registrar of Companies (RoC). Regulatory filings shared with the RoC confirm that the company fulfilled one of the key prerequisites for an IPO by converting into a public limited company under the Companies Act, 2013.
During its Extraordinary General Meeting (EGM) held on April 16, PhonePe’s shareholders passed a resolution to change the company’s name from “PhonePe Private Limited” to “PhonePe Limited.” The next phase involves receiving formal approval from the Central Processing Centre (CPC) under the Ministry of Corporate Affairs (MCA). Once cleared, PhonePe will receive a new certificate of incorporation, legally recognizing its new status as a public company.
IPO Preparations Gain Momentum
PhonePe began preparing for its IPO in February 2025, and the transition to a public company signals that its listing plans are in full swing. In a public statement, the company confirmed the structural change as part of its IPO roadmap and emphasized that it will pursue a listing on Indian stock exchanges.
“The company is commencing preparatory steps in connection with its potential IPO and plans to list on Indian exchanges,” PhonePe said in its statement. “This marks a significant milestone for the company, which will celebrate its 10th anniversary this year and has grown to serve hundreds of millions of customers with innovative financial services and technology solutions.”
The IPO could push PhonePe’s valuation up to $15 billion, according to Moneycontrol, although the final valuation and capital raised will depend on market conditions and investor interest.
Major Milestones Already Achieved
This isn’t PhonePe’s first bold move toward becoming a fully Indian entity. In December 2022, the company shifted its domicile from Singapore to India, paying ₹8,000 crore in taxes during the process. This move reinforced PhonePe’s long-term commitment to the Indian market and helped strengthen its regulatory alignment with Indian financial authorities.
By relocating to India and choosing to go public on domestic exchanges, PhonePe aims to present itself as a “homegrown, fully regulated fintech company”. This decision aligns with the growing trend of Indian startups opting to list locally instead of heading to global exchanges like NASDAQ or NYSE.
Four Merchant Bankers on Board
To manage its IPO, PhonePe has appointed four leading merchant bankers—JP Morgan, Citi India, Morgan Stanley, and Kotak Mahindra Capital. These firms will assist in structuring the offering, preparing financial disclosures, and marketing the IPO to both institutional and retail investors.
The presence of these high-profile investment banks underlines the scale and ambition of PhonePe’s IPO. The fintech major could raise several billion dollars, making it one of the biggest IPOs in the Indian tech sector in recent years.
Company Valuation and Investor Backing
PhonePe reached a valuation of $12 billion in its most recent funding round in 2023. Backed by Walmart, the fintech unicorn has seen explosive growth in digital payments, financial services, and insurance distribution. Walmart acquired a majority stake in PhonePe from Flipkart in 2018, and since then, it has continued to back the company through multiple funding rounds.
PhonePe remains a flagship fintech play for Walmart in India. A successful IPO would not only provide PhonePe with capital for further expansion but also offer Walmart and other early investors the option to partially exit or reduce their stake, unlocking significant value.
Rapid Growth and Market Leadership
Founded in 2015, PhonePe started as a UPI-based payments platform but quickly expanded into a full-stack financial services provider. It now offers mutual funds, insurance products, digital gold, wealth management tools, and bill payment solutions.
As of early 2025, PhonePe serves over 500 million registered users and processes more than 4 billion transactions monthly, according to internal company data. Its dominance in the Unified Payments Interface (UPI) space positions it ahead of rivals like Google Pay, Paytm, and Amazon Pay in terms of transaction volume.
PhonePe also recently launched its account aggregator services, expanded its Point-of-Sale (PoS) business, and entered the lending space through partnerships with non-banking financial companies (NBFCs).
IPO: A Catalyst for Expansion
The proceeds from the IPO will support strategic growth areas, including merchant services, credit products, wealth management, and expansion into Tier-2 and Tier-3 cities. The capital will also fund tech development, product innovation, and customer acquisition across its platform.
PhonePe believes that a public listing will improve its governance standards, attract long-term investors, and position it as a market leader in the formal financial ecosystem.
Company executives view the IPO as a natural progression in its corporate journey. After nearly a decade of scaling in the Indian market, PhonePe is ready to transition from a high-growth startup into a publicly listed enterprise, accountable to shareholders and governed by market regulations.
Symbolic Timing and Industry Impact
PhonePe’s IPO carries symbolic significance, as it celebrates its 10-year anniversary in 2025. The transition to a public company reflects its maturity, financial strength, and strategic readiness to operate at a global standard.
The IPO will also impact the broader Indian fintech landscape. A successful listing will restore investor confidence in consumer fintechs, many of which have postponed IPOs due to volatile markets. It could also inspire other high-growth startups—especially in the payments and lending sectors—to explore listing options.
PhonePe’s move into the public sphere could establish a benchmark for valuations, governance, and growth expectations in Indian fintech.
What’s Next?
PhonePe must now finalize its draft red herring prospectus (DRHP) and submit it to the Securities and Exchange Board of India (SEBI). The market regulator will review the filing, after which PhonePe can initiate its investor roadshows and set the price band for the offering.
While a specific IPO timeline hasn’t been confirmed, industry sources expect the listing to happen in late 2025 or early 2026, depending on regulatory approvals and market conditions.
Conclusion
PhonePe’s conversion into a public company signifies more than just a structural change—it marks a defining moment in the company’s evolution and in India’s fintech journey. As it moves closer to its IPO, PhonePe stands poised to redefine how Indian tech companies enter the public markets.
With a clear focus on innovation, regulatory compliance, and local market leadership, PhonePe continues to chart a course that blends financial inclusion with shareholder value creation—all from the heart of India.
