PhonePe files updated DRHP for IPO, Walmart to sell 9% stake
22 Jan 2026, 11:55 AMThe IPO will be a pure offer for sale (OFS) of up to 5.06 crores and it will not involve fresh capital raise.
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Walmart-backed fintech major PhonePe has filed its updated draft red herring prospectus (UDRHP) for its initial public offering (IPO) with the Securities and Exchange Board of India (SEBI).
The IPO will be a pure offer for sale (OFS) of up to 5.06 crores and it will not involve fresh capital raise, per UDRHP dated January 21.
Walmart, through its unit WM Digital Commerce Holdings, aims to offload up to 4.59 crore shares, or around 9% of its holding in the company. Walmart currently holds 71.77% stake in PhonePe.
Tiger Global and Microsoft, which hold 0.2% and 0.71% stakes, respectively, plans to sell their entire stake via the OFS.
General Atlantic, which holds 8.98% stake in PhonePe, will not be divesting its stake during the IPO. the co-founders -- Sameer Nigam and Rahul Chari, who own 2.55% each in the fintech major, will also stay put.
PhonePe's operating revenue rose to Rs 7,114.8 crore in FY25 from Rs 5,064.1 crore in FY24 and Rs 2,914 crore in FY23. Its operating revenue in the first six months of the ongoing fiscal FY26 was Rs 3,918 crore as compared to Rs 3207.5 crore in the same period previous fiscal year.
The fintech company's net loss is still massive even as losses decreased in FY25 to Rs 1,727.4 crore from Rs 1,996 crore in FY24 and Rs 2,796 crore in FY23. Its net loss in the first six months of the ongoing fiscal, however, increased to Rs 1,444.4 crore from Rs 1,203.2 crore in the same period previous financial year.
Kotak Mahindra Capital, JP Morgan India, Citigroup Global Markets India, Morgan Stanley India, Axis Capital, Goldman Sach (India) Securities, Jefferies India and JM Financial are the book running lead managers to the public issue.
Built on its payments dominance, PhonePe has expanded into insurance, mutual funds, and lending, positioning itself as a full-stack fintech platform.
PhonePe's IPO comes in the wake of a slew of public offerings by new age tech companies in India in the past months. Fintech majors Groww and Pine Labs made a strong debut on the bourses late last year.
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