Bengaluru-based digital payments leader PhonePe has reapplied with the Securities and Exchange Board of India (SEBI) by submitting an updated Draft Red Herring Prospectus ahead of its much-anticipated IPO, according to filings made on January 21, 2026. The planned offering consists solely of an offer-for-sale (OFS) of 5.06 crore shares by existing investors, with no fresh shares being issued, meaning the company itself will not raise new capital from the listing.
Key Highlights
- PhonePe refiles draft IPO papers with SEBI, proposing a pure offer-for-sale by investors.
- Walmart plans to pare stake, while Microsoft and Tiger Global exit through IPO.
Promoter WM Digital Commerce Holdings, a subsidiary of Walmart International Holdings, currently holds a 71.77 percent stake in PhonePe and will divest around 9.06 percent of its shares through the OFS. The remaining portion of the sale will be executed by global investors including Tiger Global PIP-9 1 and an Irish arm of Microsoft, who are also exiting part of their investments.
General Atlantic Singapore PPIL is the largest public shareholder with an 8.98 percent stake, followed by Headstand at 5.73 percent.
PhonePe’s forthcoming IPO is expected to unlock significant liquidity for existing backers, with earlier reports indicating the OFS could garner up to about ₹12,000 crore and value the company at roughly $15 billion — making it one of India’s biggest fintech listings.
Since its launch in 2016, PhonePe has emerged as a dominant player in India’s Unified Payments Interface market. Despite posting a wider loss of ₹1,444.4 crore in the six months ending September 2025, compared with ₹1,203.2 crore the previous year, revenue climbed over 22 percent to ₹3,918.5 crore during the same period.
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A consortium of investment banks, including Kotak Mahindra Capital, JP Morgan India, Citigroup Global Markets India, Morgan Stanley India, Axis Capital, Goldman Sachs (India) Securities, Jefferies India, and JM Financial, is managing the offering.
