Walmart-Backed PhonePe Secures SEBI Approval, Refiles IPO Papers With Major Stake Changes

India’s leading digital payments firm PhonePe has received approval from the Securities and Exchange Board of India (SEBI) to launch its highly anticipated initial public offering (IPO), marking a pivotal step toward listing on Indian exchanges. The SEBI nod clears the way for what could be one of the largest new-age tech listings in the country, with the fintech giant targeting a valuation of around $15 billion.

PhonePe is expected to raise approximately ₹12,000–13,500 crore (about $1.3–1.5 billion) through a pure offer-for-sale (OFS), with no fresh capital being issued, according to updated Draft Red Herring Prospectus filings.

The updated IPO papers show existing shareholders offloading up to 5.06 crore equity shares. Promoter WM Digital Commerce Holdings, a Walmart International entity, plans to trim its stake by about 9%, while early investors Microsoft and Tiger Global are set to fully exit their holdings.

PhonePe, which dominates India’s Unified Payments Interface (UPI) market with roughly 45% share, has expanded into services including lending, insurance, and stockbroking, helping drive revenue growth while narrowing losses.

The fintech’s IPO, widely expected to open in March–April 2026, depending on market conditions, would follow major listings like Paytm’s and is viewed as a key indicator of investor appetite for India’s technology and digital finance sectors.