Walmart, Microsoft, and Tiger Global are set to sell approximately 50.7 million shares of PhonePe in the Indian payments firm's upcoming initial public offering (IPO). A draft prospectus dated Wednesday, January 21, 2026, revealed the details of the offer for sale (OFS). PhonePe has received approval from the Securities and Exchange Board of India (SEBI) for its IPO, a crucial step for one of India's largest fintech listings.
The IPO is expected to raise around $1.5 billion through the OFS, with existing investors paring down their stakes. While the exact valuation and pricing details are yet to be finalized, and will depend on factors such as anchor allotment, the listing is anticipated to occur around March or April.
PhonePe, a subsidiary of Walmart Inc., was founded in December 2015 by Sameer Nigam, Rahul Chari, and Burzin Engineer. The company has expanded beyond its core payments business into insurance, lending, and wealth management, and has also launched consumer tech platforms like Pincode and the Indus Appstore. To date, PhonePe has raised close to $1 billion from investors, including General Atlantic and Tiger Global. Its valuation was $14.5 billion following a $600 million funding round led by General Atlantic in late 2025, a significant increase from its $12.5 billion valuation in May 2023.
PhonePe holds a dominant position in India's Unified Payments Interface (UPI), accounting for 45% of total UPI transactions as of December. The company boasts over 600 million registered users and provides payment solutions for nearly 50 million merchants. In August, PhonePe processed 9.8 billion of the 21.6 billion UPI transactions completed.
The company has been actively preparing for its public listing for several months. In February 2025, it appointed JP Morgan, Citi India, Morgan Stanley, and Kotak Mahindra Capital as merchant bankers to manage the IPO. PhonePe transitioned from a private to a public company in April 2025 and restructured itself, shifting its domicile from Singapore to India in 2022.
PhonePe has demonstrated progress toward profitability, narrowing its net loss by 13.4% in 2024-25 to ₹17.27 billion, compared to a loss of ₹19.96 billion in the previous year. During the same period, operating revenue increased by 40% to ₹71.15 billion from ₹50.64 billion.
The Indian equity markets have seen record levels of capital raising recently, creating a favorable environment for PhonePe's IPO. There is strong investor demand for technology stocks, and the timing of the IPO aligns with the increasing adoption of digital payments throughout India. The market is anticipating the pricing and share allocation details for the PhonePe IPO.
