Razorpay converts into public entity amidst reverse flipping back to India

20 Apr 2025, 08:55 PM

This development follows the recent approval of the merger between Razorpay Inc. and Razorpay India by the Regional Director in Hyderabad.

Team Head&Tale

Fintech unicorn Razorpay has officially restructured into a public limited company, a key step toward its anticipated initial public offering (IPO). 

As per the company's regulatory filing, the payment aggregator got the approval of its members at an extraordinary general meeting held on March 27 to change its name to ‘Razorpay Software Limited’ from ‘Razorpay Software Private Limited’.

Although the Bengaluru-headquartered firm has no immediate IPO plans, it's aiming for a public listing in about two-three years. 

This development follows the recent approval of the merger between Razorpay Inc. and Razorpay India by the Regional Director in Hyderabad, Entrackr reported.

Having raised more than $800 million through several funding rounds, Razorpay was last valued at approximately $7 billion. 

In FY24, Razorpay reported a 24% jump in revenues for its payment gateway (PG) business. Despite facing over nine months ban on new merchant onboarding during the financial year, the fintech’s PG business generated revenue of Rs 2,068 crore. During this period, its total income stood at Rs 2,501 crore as compared to Rs 2,293 crore reported in FY23. It posted profit after tax of Rs 34 crore in FY24 from Rs 7 crore in FY23. 

Razorpay resumed onboarding new merchants on December 22, 2023, following RBI’s payment aggregator (PA) authorization. The company claims it launched over 40 new solutions that enhanced service penetration among existing customers. Razorpay also claimed to reach an annualized total payment volume (TPV) of $180 billion.

The development aligns Razorpay with other Indian fintech companies like Paytm and MobiKwik that have already gone public. 

Meanwhile, several other fintechs, including Pine Labs, PhonePe, Groww, Navi, OfBusiness gearing up for their IPOs in near future.

Recently, The Head and Tale exclusively reported about Pine Labs securing the National Company Law Tribunal (NCLT)'s final approval to merge its Singapore and India entities, paving the way for the fintech company to shift its domicile from Singapore to India. 

In a communication sent to shareholders, Pine Labs confirmed that the process to convert Pine Labs India (a private limited company) into an unlisted public company is expected to take three to four weeks.