Razorpay Files Confidential IPO Papers With SEBI; ₹5,000-6,000 Crore Issue Expected

Fintech unicorn Razorpay has confidentially filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI), taking a major step towards its stock market debut. The Peak XV-backed company is expected to raise around ₹5,000 crore to ₹6,000 crore through the issue, comprising a fresh issue of shares worth about ₹2,500-3,000 crore and an Offer For Sale (OFS) of a similar size. The proposed issue could make it one of India's biggest fintech listings.

The Bengaluru-based company has opted for SEBI's confidential filing route, allowing it to begin regulatory discussions without publicly disclosing detailed financial and business information at this stage. The company is targeting a stock market debut by the end of 2026.

IPO Filing Follows Corporate Restructuring Ahead Of Listing

Razorpay's confidential DRHP filing comes after a series of steps taken to prepare for a public market debut. 

In April 2025, the company's shareholders approved a proposal to raise funds through a fresh issue of equity shares. In 2025, the company shifted its parent domicile from the US to India through a reverse-flip process, joining a growing list of startups relocating their base to facilitate domestic listings. It also converted into a public company ahead of the proposed IPO.

The company has appointed Axis Capital, Kotak Mahindra Capital, JPMorgan and Citi as advisors for the issue.

Under the confidential filing mechanism, companies can submit draft offer documents to SEBI for review without immediately disclosing sensitive business information to the public. After the review process, Razorpay will be required to file updated offer documents with full disclosures.

Razorpay joins a growing list of Indian startups, including Zepto, that have chosen the confidential filing route ahead of a stock market listing.

Razorpay's Business Expansion and Revenue Growth 

Founded in 2014 by Harshil Mathur and Shashank Kumar, Razorpay attained unicorn status in 2020 and has since expanded from a payment gateway provider into a full-stack financial services platform catering to businesses across India. 

Key highlights of the company's growth journey include:

• Razorpay now offers a wide range of services, including payment processing, banking solutions, payroll management, POS services and merchant lending products.

• The company reported revenue of ₹3,783 crore in FY25, up 65% from ₹2,296 crore in FY24, driven by growth across its banking, payment gateway, POS and international businesses.

• Gross profit increased 41% year-on-year to ₹1,277 crore in FY25 from ₹906 crore in the previous financial year.

• The Bengaluru-based company reported a loss of ₹1,209 crore in FY25, largely due to ESOP-related expenses.

• Razorpay was last valued at around ₹64,000 crore during its 2021 funding round, when it raised $375 million from investors.

• The company is backed by investors including GIC, Tiger Global, Ribbit Capital, Peak XV Partners, Alkeon Capital, Lone Pine Capital and TCV.

• According to reports, Razorpay could raise around ₹5,000 crore to ₹6,000 crore through its IPO, including a fresh issue of shares worth about ₹2,500-3,000 crore and an Offer For Sale (OFS) of a similar size, potentially making it one of India's largest fintech listings.

The company's strong revenue growth and diversified financial services portfolio are expected to be key factors that investors will evaluate as it moves ahead with its public market debut.

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One Of The Most-Watched Fintech IPOs

Razorpay's filing adds to India's growing pipeline of technology listings and comes at a time when investor interest in profitable and scalable digital businesses remains strong.

The filing also comes as rival fintech company PhonePe has reportedly put its IPO plans on hold due to geopolitical tensions in West Asia and volatile market conditions. 

With the draft papers now submitted to SEBI, investors will closely monitor the company's next steps, including regulatory approvals, updated disclosures and final issue details.

If the issue proceeds as expected, Razorpay could emerge as one of the largest fintech IPOs in India and another significant milestone for the country's startup ecosystem.