Razorpay IPO - Issue size, price band, GMP and more!
Razorpay is moving closer to the public markets, with plans taking shape for a potential IPO by late 2026. The company is considering a fresh issue of up to ₹4,500 crore, following a marked improvement in its FY25 financial performance. The process is still at an early stage. A DRHP has not yet been filed, but conversations with leading merchant bankers have begun, and the broad contours of the offering are being worked out.
That, in itself, marks a shift for a fintech that has remained privately held for over a decade. Razorpay’s scale in payments, combined with its expanding product footprint, means the proposed listing is already drawing attention. In a market where digital payments continue to deepen, the company is emerging as one of the more significant fintech IPO candidates lined up for 2026.
The strategic redomiciling and regulatory milestones
Razorpay's journey to the Indian stock market has been filled with a complex corporate restructuring called a reverse flip. In 2025, the company moved its headquarters from the United States back to India.
This move involved a massive one-time tax expenditure of Rs. 1,275 crores ($150 million) entirely from internal cash reserves. In April 2025, the company overcame another major hurdle by transforming into a public limited company.
As of January 2026, the firm was reportedly open to inviting bids from merchant bankers. As of now, Kotak Mahindra Capital and Axis Capital are the front-runners to lead the syndicate. These steps mean that the regulatory cleanup phase is done, and the management can look at the market timing for the IPO.
Razorpay IPO issue size & structure
The Razorpay IPO is projected to be a fresh issue of up to Rs 4,500 crore (around $505 million). A secondary pre-IPO round is possible, though there has been no OFS announcement yet. The company is also well-capitalised following its $375 Mn funding round in 2021.
The listing is subject to market conditions and SEBI approvals and is tentatively planned to take place by the end of 2026. Kotak Mahindra Capital and Axis Capital are among the banks pitching for mandates.
The price band will be announced after the DRHP filing and roadshows. Grey Market Premium (GMP) activity is inactive in this early stage.
About the company
Founded in 2014, Bengaluru-based Razorpay is a payments, banking, and lending solution provider for millions of businesses. It was founded by Harshil Mathur and Shashank Kumar. The company handles billions in annual TPV and recently acquired POP UPI and holds an RBI cross-border payments licence.
Razorpay has received $741 million from investors, such as Peak XV Partners and GIC, and officially became a public company in April 2025.
What the financial performance says
Razorpay reported a revenue of Rs 3,783 crore in FY25, an increase of 65% from Rs 2,296 crore in FY24. Growth was led by the core payments, POS solutions, RazorpayX, and expanded international operations.
Gross profit increased 41% to ₹1,277 crore, and the online payments business of the company became EBITDA-positive. However, Razorpay carried a net loss of Rs. 1,209 crore, mainly because of ESOP expenses, tax liabilities as a result of redomiciling, and restructuring expenses as a result of the reverse flip to India in 2025.
Why the IPO matters for investors
The IPO is expected to power Razorpay's growth in cross-border payments and AI-powered financial tools in line with India's growing digital payments ecosystem. For investors, this is exposure to a scaled fintech platform that is operating at the heart of India's digital commerce infrastructure.
The listing also allows for exit to early backers such as GIC and Tiger Global, reinforcing investor confidence, and offers a benchmark for price discovery in a maturing fintech market.
A public listing is likely to boost merchant trust, regulatory visibility, and talent hiring, and boost Razorpay's competitive standing in comparison to listed peers such as Paytm. This means better governance, increased standards of disclosure, and clearer avenues to the long-term profitability that comes with improved operating leverage.
Summing it up
Razorpay enters the IPO runway with strong revenue momentum, operational leverage, and a clear expansion story. While profitability is still very much a work in progress, the fundamentals justify the attention of the market. Once the DRHP lands, Razorpay will transition into a public market benchmark.
