The Bengaluru-headquartered company disclosed through a public notice that it had submitted a pre-filed Draft Red Herring Prospectus (DRHP) dated June 12 under SEBI’s confidential filing mechanism.
The route allows companies to begin the IPO process without immediately disclosing detailed financial and operational information to the public, offering greater flexibility while regulatory reviews are underway.
The filing comes shortly after Razorpay secured shareholder approval to raise up to ₹2,700 crore through a fresh issue of shares as part of its proposed public offering.
The IPO is also expected to include an offer-for-sale component by existing shareholders.
According to market estimates, Razorpay could look to raise between $500 million and $600 million (approximately ₹4,700 crore to ₹5,700 crore) through the offering. The issue is likely to comprise a nearly equal mix of fresh shares and secondary share sales.
Sources indicate that the company is targeting a stock market debut in 2026, subject to regulatory approvals and market conditions. At the time of listing, Razorpay could command a valuation in the range of $5 billion to $6 billion.
The proposed valuation would be below Razorpay’s last known private market valuation of $7.5 billion, achieved in 2021 when the company raised $375 million. Ahead of its IPO plans, Razorpay completed its reverse flip to India in May 2025, shifting its domicile from the United States back to India.
The IPO is being advised by a consortium of investment banks, including Axis Capital, Kotak Mahindra Capital, JPMorgan and Citi.
Razorpay’s consolidated revenue climbed 65% year-on-year to ₹3,783 crore in FY25, driven by momentum across its payments business, banking platform RazorpayX and international operations.
Gross profit increased to ₹1,277 crore from ₹906 crore a year earlier. Despite the robust revenue growth, the company reported a net loss of ₹1,209 crore during FY25, largely due to one-time ESOP-related charges and tax expenses linked to its corporate restructuring and domicile shift back to India.
Beyond payments, Razorpay has been positioning itself to capitalise on emerging AI-driven commerce opportunities.
Speaking to CNBC-TV18 last year, co-founder and CEO Harshil Mathur said artificial intelligence could fundamentally reshape how consumers discover, purchase and pay for products, similar to the transformation brought about by UPI in India’s digital payments ecosystem.
Mathur had indicated that while AI-led payments may not contribute meaningfully to revenues in the near term, the technology could become a mainstream commerce channel over the next five years.
First Published: Jun 15, 2026 9:00 AM IST
