PhonePe IPO

About PhonePe IPO

PhonePe IPO opens on TBA and closes on TBA. The allotment of shares will take place on TBA. The credit of shares to the Demat account will take place on TBA. The initiation of refunds will take place on TBA. The listing of shares will take place on TBA.

The IPO of PhonePe comprises only an offer for sale. It has no fresh issue. The offer for sale aggregates up to 50,660,446 equity shares. The lot size of shares in the IPO is TBA and the price band of shares is TBA.

The minimum investment amount required by a retail investor is TBA based on the upper price. The minimum lot for retail investors is TBA (XXXX shares).

PhonePe is a technology company that is building digital platforms for population-scale adoption and powering an ecosystem of apps across payments services, digital distribution services and financial services. Through its digital platforms, the company strives to unlock the flow of funds and ability to access goods and services for its users.

Objectives of PhonePe IPO

PhonePe will not receive any proceeds of the offer for sale by the selling shareholders. Each of the selling shareholders will be entitled to their respective proportion of the proceeds of the offer for sale after deducting their portion of the offer related expenses and the relevant taxes thereon.

Industry Outlook

India’s digital payments ecosystem has grown at a remarkable pace, led by UPI, supportive policies, a digital public-private collaboration, and innovations in the fintech space. Financial inclusion, user-friendly platforms, and government incentives have driven consumer and merchant payments adoption.

India’s digital consumer payments TPV reached ₹301 trillion (USD 3.5 trillion) in fiscal year 2025, with UPI making up 8 % of this volume. As more consumers embrace digital payments, UPI’s growth is likely to be fuelled by user-friendly innovations like UPI circle, credit cards on UPI, and increasing cross-border use cases.

UPI adoption is projected to accelerate further, particularly across Tier 2+ cities, fuelled by the growing penetration of digital services such as e-commerce, food delivery, quick commerce, travel, etc. As a result, Tier 2 cities are projected to contribute 5% of UPI’s consumer TPV by fiscal year 2030.

PhonePe Company Information

PhonePe is a technology company that is building digital platforms for population-scale adoption and powering an ecosystem of apps across payments services, digital distribution services and financial services. Through its digital platforms, the company strives to unlock the flow of funds and ability to access goods and services for its users.

Following the pilot launch of Unified Payments Interface (UPI) in April 2016, PhonePe became India’s first private non-bank player to launch a UPI-based application in August 2016, as per National Payments Corporation of India (NPCI) data.

Strengths of PhonePe

• Long-term and strategic approach to building new businesses
• Highly tenured leadership team with strong focus on organisational culture and governance
• Cutting-edge technology and intellectual property stack
• Trusted brand across the length and breadth of India
• Market leadership in a high-frequency payments business
• Strong operating model combining scale, growth, diversification, and financial performance

Risks of PhonePe

• The company may continue to incur negative cash flows in the future which could adversely affect its operations
• Disruption in its consumer payments offering could adversely affect business, financial condition, results of operations and cash flows
• Inability to pass higher processing charges to merchants or consumers may decrease margins and profitability
• Change in commercial terms, disruption, failure, or operational breakdown within one or more of payment networks may adversely affect business
• Downturn in customers’ willingness to use payments services could have a material adverse impact on business
• Inability to retain network of users, merchants lending partners, insurers or other business partners could materially impact business and financial condition
• Operations are subject to various legal and regulatory requirements, including oversight and inspection by most of the major Indian financial regulators including the RBI, SEBI, IRDAI and DoT
• Subject to cybersecurity risks that could lead to disruptions of operations and additional costs
• The company faces substantial and increasingly intense competition within India’s financial services industry
• Failure to accurately predict the demand or growth of new products and services could adversely impact business

() denotes negative

Anchor Investor Bidding Date

TBA

IPO Registrar and Book Running Lead Managers

• IPO Registrar: KFin Technologies
  
• Book Running Lead Managers: Kotak Mahindra Capital, JP Morgan India, Citigroup Global Markets India and Morgan Stanley India Company
  

PhonePe Business Model

PhonePe’s ecosystem comprises three digital platforms namely PhonePe platform, Share Market and Indus Appstore. The PhonePe platform caters to customers and merchants enabling access to consumer payments along with digital distribution services, merchant payments, lending distribution and insurance distribution services. Share Market is a stock market and mutual funds distribution platform. Indus App Store is a Made-in-India Android app store.

PhonePe Growth Trajectory

The revenue from operations of PhonePe grew from ₹2914.287 crores in FY 23 to ₹7114.858 crores in FY 25. Its adjusted EBITDA margin moved from the negative territory of (12.88%) in FY 22 to 20.76% in FY 25.

Its yearly active customers grew from 20.781 crores in FY 23 to 29.024 crores in FY 25. Long-term and strategic approach to building new businesses and cutting-edge technology and intellectual property stack have helped the company grow over the years.

PhonePe Market Position

PhonePe is India’s largest digital payments platform. It had sustained leadership in market share from December 2020 to September 2025 in terms of the number of transactions and total payments value (TPV) for customer-initiated UPI transactions, as per NPCI data.

How to Apply for PhonePe IPO?

To apply for this IPO:

• Log in to your Kotak Neo Demat account: Log in to your Kotak Neo Demat account to access IPO investments. Next, select the current IPO section.
• Specify IPO details: Enter the number of lots and the price you wish to apply for.
• Enter UPI ID: After entering your UPI ID, click submit. This will place your bid with the exchange.
• Mandate Notification: Your UPI app will receive a mandate notification to block funds.
• Approve Request: Your funds will be blocked once you approve the mandate request on your UPI.