PhonePe converts to public company ahead of IPO
The Walmart-backed startup shifted its domicile from Singapore to India in 2022 and has begun preparing to list on public bourses earlier this year.
Digital payments company PhonePe has converted into a public company as it gears up to go public amidst a growing line of startups heading to public bourses in the country.
The Walmart-backed company has changed its name from PhonePe Private Limited to PhonePe Limited.
According to a Registrar of Companies filing, the move was approved at the company's Extraordinary General Meeting held on April 16.
In February, the company began to prepare for its IPO, stating that its strong top-line and bottom-line growth across its portfolio made it a suitable time to prepare for a public listing.
The Bengaluru-based company reported a 73% rise in its FY24 revenue to Rs 5,064 crore from Rs 2,914 crore in the previous fiscal year.
Moreover, the company turned adjusted profit after tax (PAT) positive after reporting a profit of Rs 197 crore, excluding ESOP-related costs, during the period after reporting a loss of Rs 738 crore in FY22-23.
The Sameer Nigam-led fintech moved its base from Singapore to India in 2022, eyeing a public listing. It has maintained a stronghold in India’s digital payments space after recording over 798 crore UPI transactions in December 2024–a 78% rise from the transactions registered in November.
The company’s announce comes on the heels of fintech major Razorpay’s conversion into a public entity a day prior though the company does not have any immediate plans to list.
PhonePe last raised $1 billion in tranches at a pre-money valuation of $12 billion. Its cap table includes notable investors, including Tiger Global, General Atlantic, Tencent, and Walmart.
The digital payments space in India has been growing rapidly amidst rising usage of smartphones, deeper internet penetration and the rise of ecommerce.
Edited by Suman Singh