PhonePe Refiles IPO Papers: Walmart to Trim 9% Stake as Microsoft, Tiger Global Exit

PhonePe Refiles IPO Papers: Walmart to Trim 9% Stake as Microsoft, Tiger Global Exit

PhonePe refiles IPO papers at a time when India’s primary market is closely tracking large digital platform listings. The Bengaluru-based digital payments company has submitted its updated Draft Red Herring Prospectus (UDRHP) to the Securities and Exchange Board of India (SEBI), taking one more formal step toward its long-awaited public issue.

This filing keeps the story simple and factual. No new shares. No fresh capital. Just existing investors choosing to pare their holdings as PhonePe prepares for life as a listed company.

Market Performance: IPO Activity Back in Focus

The refiling of IPO papers by PhonePe adds momentum to the ongoing IPO narrative in Indian markets. Large, consumer-facing tech platforms tend to attract wide attention, not just from investors but across the broader market ecosystem.

As PhonePe refiles IPO papers, the move signals regulatory progress rather than any shift in business operations. The development comes after SEBI cleared the company’s confidential filing earlier this week.

Main News: PhonePe Refiles IPO Papers With SEBI

PhonePe, backed by Walmart and General Atlantic, has filed its updated IPO papers with SEBI to raise funds through an offer-for-sale (OFS) route.

Key details from the filing:

  • Total offer size: 5.06 crore equity shares
  • Issue type: 100% offer-for-sale
  • Fresh issue component: None
  • Filing date of UDRHP: January 21

Because the IPO is structured purely as an offer-for-sale (OFS), the full proceeds from the sale will go directly to the existing shareholders, with no funds flowing to PhonePe.

Walmart to Cut 9% Stake Through Offer-for-Sale

Promoter entity WM Digital Commerce Holdings, owned by Wal-Mart International Holdings Inc, currently holds 71.77% stake in PhonePe.

As part of the IPO:

  • WM Digital Commerce Holdings will sell 4.59 crore shares
  • This equals 9.06% of PhonePe’s total paid-up equity

Even after the sale, Walmart will continue to remain the largest shareholder in the company.

Microsoft and Tiger Global to Exit

Apart from Walmart’s stake sale, two early investors are set to fully exit through the IPO.

Details of the remaining OFS:

  • 47.17 lakh shares to be sold
  • Selling shareholders:
    • Tiger Global PIP 9-1
    • Microsoft Global Finance Unlimited Company (Ireland-based subsidiary of Microsoft Corporation)

This marks a clean exit for these investors via the public market route as PhonePe refiles IPO papers.

Current Shareholding Snapshot

Among public shareholders:

  • General Atlantic Singapore PPIL holds 8.98% stake
  • Headstand owns 5.73% stake

These stakes remain unchanged as per the updated filing information.

SEBI Clearance and IPO Process Timeline

The regulatory process has moved in phases:

  • Confidential DRHP filed: September 2025
  • SEBI approval received: January 20, 2026
  • Updated DRHP filed: January 21, 2026

With this clearance in place, the company can now proceed toward filing its Red Herring Prospectus (RHP) with the Registrar of Companies ahead of the IPO launch.

Company Details: PhonePe’s Business Background

PhonePe was quick to capitalize on India’s digital payments shift:

  • UPI launched: April 2016
  • PhonePe UPI app launch: August 2016
  • First private non-bank player to launch a UPI-based app in India

As per NPCI data, PhonePe has reported:

  • Leadership in customer-initiated UPI transactions
  • Highest total payment value (TPV) among peers

The company competes directly with One 97 Communications, the listed parent company of Paytm.

Financial Snapshot From IPO Papers

The financial details disclosed in the filing provide a clear view of scale and losses.

Six Months Ended September 2025

  • Revenue from operations:
    ₹3,918.5 crore
    (Up 22.2% from ₹3,207.5 crore)
  • Net loss:
    ₹1,444.4 crore
    (Widened from ₹1,203.2 crore)

Full Year FY25

  • Revenue:
    ₹7,114.8 crore
    (Up 40.5% from ₹5,064.1 crore in FY24)
  • Net loss:
    ₹1,727.4 crore
    (Narrowed from ₹1,996.1 crore in FY24)

These figures remain unchanged as PhonePe refiles IPO papers.

Merchant Bankers for PhonePe IPO

The IPO is being managed by a large consortium of investment banks:

  • Kotak Mahindra Capital Company
  • JP Morgan India
  • Citigroup Global Markets India
  • Morgan Stanley India Company
  • Axis Capital
  • Goldman Sachs (India) Securities
  • Jefferies India
  • JM Financial

Summary: PhonePe Refiles IPO Papers, Keeps Structure Simple

To sum it up, PhonePe refiles IPO papers with a clear and straightforward structure. The issue is entirely an offer-for-sale, led by Walmart trimming 9.06% stake, while Microsoft and Tiger Global exit fully.

No fresh capital is being raised. No business forecasts are added. The filing simply moves the IPO process forward, backed by regulatory approval and updated disclosures.

As India’s digital payments leader inches closer to listing, this refiling keeps the focus firmly on facts, structure, and shareholder changes—nothing more, nothing less.

Source: Moneycontrol

Download the Samco Trading App

Get the link to download the app.

Samco Fast Trading App

Leave A Comment?