PhonePe hires JPMorgan Chase, Citigroup, Morgan Stanley and Kotak as IPO bankers: Report

PhonePe, India’s largest digital payments platform, has begun preparations for its much-anticipated initial public offering (IPO). According to a PTI report, the company has onboarded four global investment banks, including Kotak Mahindra Capital, JPMorgan Chase, Citigroup, and Morgan Stanley to arrange the offering. 

The UPI payments giant, which was last valued at $12 billion, is targeting a $1.5 billion raise in the IPO, potentially pushing its valuation to $15 billion. The company is expected to file its draft red herring prospectus (DRHP) by August, with the listing anticipated later this year.

Path to the public markets 

The IPO marks a key milestone in PhonePe’s transition from a high-growth startup to a public entity. In April 2025, the company restructured itself into a public limited company following shareholder approval, further clearing the path to a domestic listing. This followed a February announcement in which PhonePe made public its intent to debut on Indian exchanges.

Founded in 2016, PhonePe was originally domiciled in Singapore. However, in 2022, the company undertook a redomiciling process to India — a move that saw investors, led by Walmart, collectively pay nearly Rs 8,000 crore in capital gains taxes. The relocation was designed to enhance PhonePe’s regulatory compliance and facilitate a future listing on Indian stock markets.

As part of its preparations, PhonePe has also completed the legal transfer of ownership for its IndusOS Appstore (previously OSLabs Pte Ltd) to India.

A growing financial footprint 

PhonePe’s financial trajectory has mirrored its expansive user base and transaction volume. As of May 2025, the company reported more than 61 crore registered users and 4 crore merchants on its platform, with over 34 crore daily transactions and a total payment value exceeding Rs 150 lakh crore.

For the fiscal year ending March 2024, the company reported a consolidated revenue of Rs 5,064 crore, a 74% increase from Rs 2,914 crore in FY23. Net losses narrowed significantly to Rs 1,996 crore in FY24 from Rs 2,795 crore the previous year. Excluding ESOP expenses, PhonePe had already reported a consolidated net profit of Rs 197 crore in FY24.

To date, PhonePe has raised approximately Rs 18,000 crore ($2.2 billion), including Rs 7,021 crore ($850 million) in FY23 from General Atlantic, Walmart, Ribbit Capital, Tiger Global, and TVS Capital Funds.