PhonePe Secures Sebi Nod for Much-Awaited $15 Billion IPO

The initial public offering (IPO) for PhonePe, a major payments company backed by Wal-Mart, has received the approval from SEBI clearing a huge hurdle since it filed the application in September 2025.

This announcement comes on Tuesday, according to sources familiar with the matter, who also say that PhonePe's major backers, Walmart, Microsoft and Tiger Global will be selling portions of their ownership stake through the IPO.

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PhonePe's Dominant UPI Position

Established in 2015, PhonePe currently maintains the largest share of India's unified payments interface with 45% of the total volume of UPI transactions as of December. According to the National Payments Corporation of India, PhonePe processed 9.8 billion of the 21.6 billion UPI transactions completed in August. 
Currently, it has over 600 million users, and it serves as a payment solution for about 50 million merchants.

Path to Profitability Emerges

In the fiscal year ending March, PhonePe reduced its losses to ₹17.2 billion, down from ₹19.96 in the previous year. The filing indicates continued progress towards profitability through their expansion initiatives and demonstrates the strong user growth and transaction volumes supporting the IPO's timing. 

Hot Market Backdrop Aids Listing

The Indian equity markets have recently achieved record levels of capital raising, which is an excellent backdrop for the listing of PhonePe's IPO. There is continued demand for technology stocks from investors. 

Investors such as Walmart have begun reducing their stakes in PhonePe, demonstrating their belief in the potential of this company. The timing for PhonePe's IPO coincides with increased acceptance of digital payments across the country.

This IPO is an indication of the increasing maturity of fintech companies, and the market is anxiously awaiting information regarding the pricing and allotment of shares for the PhonePe IPO.