PhonePe IPO
IPO Price Range: Not Announced Yet
The company has generated over 22,000 jobs across India, including 1,500+ engineers, and has invested INR 2,800 crore in infrastructure such as servers and data centers. PhonePe allows users to send and receive money, make bill payments, book travel, and shop at over 4 crore offline and online merchants. It has also expanded internationally, enabling UPI payments in six countries (Singapore, United
Arab Emirates, Nepal, Sri Lanka, Bhutan and Mauritius).
Beyond payments, PhonePe has ventured into insurance, credit, and wealth management, leveraging its extensive consumer and merchant network. It has also launched Pincode, a hyperlocal e-commerce platform, and Indus Appstore, India's first indigenous Android app store designed to challenge Google Play’s dominance.
IPO Status
Upcoming
PhonePe Brands, Products & Services
Pincode
Pincode is a hyperlocal e-commerce platform offering a wide range of products, from groceries and medicines to fashion and more.
Indus Appstore
Indus Appstore is India’s first indigenous Android app store. It offers a localized experience with apps in 12 Indian languages and allows developers to use any third-party payment gateway.
share.market
share.market by PhonePe is an all-in-one investment and trading platform that simplifies investing in stocks, ETFs, F&O, WealthBaskets, Mutual Funds, and IPOs. It empowers investors with data-driven insights with powerful research tools like factor analysis.
| Product | Digital payments and financial services |
| Known For | UPI, Investment solutions, E-commerce |
| Top Products | PhonePe Payments, Pincode, share.market |
PhonePe Key Financials
Objectives of PhonePe IPO
Shareholding Pattern
| Promoters | 100% | |
| Name | Role | Stakeholding |
| Walmart (FIT Holdings S.A.R.L.) | Promoter | 83.91% |
| Headstand Pte. Ltd. | Corporate Shareholder | 6.7% |
| General Atlantic | Institutional Investor | 5.14% |
| Others | 4.25% |
Listed Competitors of PhonePe
Paytm
Paytm operates as a financial solution provider, connecting consumers and merchants through payments, financial services, and commerce solutions. It offers UPI, Wallet, BNPL, and cards for seamless transactions, while merchants use QR codes, Soundbox, and POS devices, generating subscription and MDR revenue.
MobiKwik
MobiKwik operates as a digital payment platform connecting users with merchants across India. The company generates revenue through transaction fees from merchants, and commissions on financial services like consumer credit and investments. Additionally, MobiKwik offers value-added services such as peer-to-peer lending through MobiKwik Xtra, enabling users to earn interest on their investments.
Unlisted Competitors of PhonePe
Google Pay
Google Pay operates as a digital payments facilitator, enabling transactions between businesses and customers. It earns revenue primarily through data insights on customer spending patterns rather than charging transaction fees.
Navi
Navi offers its own financial products, including loans, insurance, bill payments, and digital gold, rather than distributing third-party services. The app supports cash collection through peer-to-peer (P2P) and merchant payments, along with services like Bharat Bill Payment System (BBPS), mobile recharges, and utility bill payments.
CRED
CRED provides a premium financial ecosystem for high-creditworthy users. It generates revenue through payment processing fees, partnerships with third-party apps, and financial product offerings. By leveraging UPI transactions, CRED enhances user engagement, enabling cross-selling of services like credit management, loans, and investment products.
Strengths and Risks of PhonePe IPO
Strengths
Market Leadership: PhonePe currently holds a 47.67% UPI market share by value as of January 2025 in India’s digital payment space, establishing strong brand recognition and consumer trust.
Extensive Merchant Network: PhonePe has established a wide network by partnering with 40 million+ merchants, including major retailers, enables widespread payment acceptance.
Diverse Offerings: PhonePe has diversified its offerings beyond payments, that include insurance, e-commerce, investment services, and more.
Strong Revenue Growth: PhonePe's revenue increased significantly by 85.58% from ₹3,085 Cr in FY23 to ₹5,725 Cr in FY24, highlighting its rapid business expansion and growing market presence.
Growing Stock Broking Platform: PhonePe's stock broking platform, Share.Market, continues to expand, with active users growing by 6.09% in January 2025, indicating increasing adoption and engagement in financial services.
Risks
Intense Competition: The digital payments space is highly competitive, with strong rivals like Paytm and Google Pay. While PhonePe holds a higher market share, its competitors continuously innovate, creating pressure to maintain its dominance and user engagement.
Fees on Certain Transactions: While many services on PhonePe are free, some transactions incur charges. This can be a drawback for users who prefer entirely free payment options, potentially pushing them toward competitors that offer zero-cost alternatives.
Regulatory Compliance Risks: PhonePe operates under strict regulations from the RBI and other authorities, requiring adherence to financial and security standards. Any non-compliance, regulatory changes, or penalties—such as past fines for KYC violations—could impact its operations and financial health.
Security and Data Privacy Risks: Handling large volumes of personal and financial data makes PhonePe vulnerable to cyberattacks, fraud, and data breaches. Despite strong security measures, any failure in safeguarding user data could damage its reputation and lead to regulatory action.
Growth and Financial Stability Risks: While PhonePe has seen rapid revenue growth, particularly in financial services, sustaining this momentum is uncertain. Market fluctuations, competition, or inability to scale effectively could impact future profitability and business expansion.
Frequently Asked Questions of PhonePe IPO
What is 'pre-apply' for PhonePe IPO?
'Pre-apply' for PhonePe IPO indicates your interest in the IPO before it opens for subscription. This ensures quick application when the IPO goes live.
What would be the listing gains on the PhonePe IPO?
The potential listing gains on the PhonePe IPO will depend on various market factors and cannot be predicted with certainty.
Is PhonePe IPO coming?
Yes, PhonePe has started the preparation for the IPO but the dates are not finalized yet.
When is PhonePe’s IPO?
The IPO date for PhonePe is yet to be announced. It is speculated that the company will make its debut in the stock market in 2025 or 2026.
Can we invest in PhonePe?
Yes, once PhonePe’s IPO is out, you can invest in the shares of the company.
How much stake does Walmart own in PhonePe?
Walmart owns 83.91% stake in PhonePe. Walmart had acquired PhonePe in 2018.
Is PhonePe profitable?
No, PhonePe is not profitable. Since the company started it has heavily invested in its software, R&D, and marketing. It has a negative cash flow due to its high operating costs.
Who is the CEO of PhonePe?
Sameer Nigam is the CEO and co-founder of PhonePe. He, along with Rahul and Burzin started PhonePe in 2015.
How many countries is PhonePe present in?
The company has a strong merchant network of more than 4 crore across six countries as of 31st March 2024.