Synopsis: Razorpay has reportedly filed a confidential DRHP with SEBI. The issue may include fresh shares and OFS in a 50:50 split. The fintech firm could list in 2026 with a potential valuation of $5–6 billion, backed by major global investors and top investment banks.
Razorpay, a Bengaluru-based fintech company, is preparing for its Initial Public Offering (IPO) and an eventual listing on Dalal Street. The company is taking key steps toward entering the public markets as part of its next phase of growth and expansion in India’s rapidly evolving digital payments and financial services ecosystem.
According to sources, the company has filed confidential draft papers with the Securities and Exchange Board of India (SEBI) for its Initial Public Offering (IPO). The payment solutions provider submitted the pre-filed Draft Red Herring Prospectus (DRHP) on June 12 as part of its plans to enter the public markets.
In a public notice issued on Monday, the company confirmed the filing of its pre-filed DRHP with SEBI and the stock exchanges. It stated that the filing relates to the proposed IPO of its equity shares on the main board, although it did not disclose the issue size at this stage.
Potential IPO Size and Structure
Razorpay’s upcoming Initial Public Offering (IPO) is estimated to be valued at around $500–600 million, which translates to approximately Rs. 4,700 – Rs. 5,700 crore. The fintech major is preparing for a significant market entry as it moves closer to listing on Indian stock exchanges, marking a major milestone in its growth journey.
The IPO will consist of both a fresh issue of shares and an Offer for Sale (OFS). According to estimates, these two components are expected to be split evenly in a 50:50 ratio. This structure will allow the company to raise new capital while also enabling existing investors to partially exit their holdings.
Listing Timeline
Razorpay is expected to debut on Dalal Street in 2026, with the listing timeline subject to regulatory approvals and prevailing market conditions. At the time of its IPO, the fintech company could be valued at approximately $5–6 billion. The final valuation will depend on investor demand and broader sentiment in the financial markets.
Investment Bankers and Backing for IPO
Razorpay’s upcoming Initial Public Offering (IPO) will be managed and advised by a strong group of investment banks. The consortium includes Axis Capital, Kotak Mahindra Capital, JPMorgan, and Citi, bringing together both domestic and global financial expertise for the offering.
These institutions will play a key role in structuring the issue and ensuring compliance with regulatory requirements. They will also guide Razorpay through the entire listing process, helping the fintech company smoothly navigate its transition to the public markets.
The company is also backed by prominent global investors such as GIC, Tiger Global, Ribbit Capital, Peak XV Partners, Alkeon Capital, Lone Pine Capital, and TCV, reflecting strong institutional support ahead of its public market debut.
CEO on AI and the Future of Payments
In 2025, speaking to CNBC-TV18, Harshil Mathur, Co-Founder and CEO of Razorpay, said that artificial intelligence (AI) has the potential to transform how people shop and make payments in the coming years. He compared this shift to the impact that UPI had on India’s digital payments ecosystem.
While speaking on the sidelines of the Global Fintech Festival 2025, Mathur described AI as a major technological shift similar to UPI. He noted that such changes take time for widespread adoption, even if the long-term impact is significant for the financial ecosystem.
He further added that Razorpay is not focusing on immediate revenue from AI-led payments but on their long-term potential. He expressed confidence that within the next five years, AI could become a primary way people engage in commerce and complete transactions.
Financials & Others
Razorpay reported a strong financial performance in FY24–25, with its consolidated revenue from operations rising 65% year-on-year to Rs. 3,783 crore, compared to Rs. 2,296 crore in FY24. The growth was supported by strong execution across its banking, payment gateway, POS, and international business segments.
The company’s gross profit also showed healthy expansion, increasing 41% year-on-year to Rs. 1,277 crore in FY25, up from Rs. 906 crore in the previous financial year. The Bengaluru-headquartered fintech firm continued to benefit from steady business momentum across its core offerings.
Razorpay is a full-stack payments platform that enables businesses to accept, process, and disburse payments seamlessly. It supports a wide range of payment options, including debit and credit cards, net banking, UPI, and popular digital wallets such as Mobikwik, Airtel Money, JioMoney, Ola Money, PayZapp, and FreeCharge.
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