Author : Aashiya Jain | EQmint | Startup News
Razorpay, one of India’s most high-profile fintech startups, is quietly accelerating toward one of the country’s most talked-about public market debuts. In early 2026, the Bengaluru based digital payments unicorn began the formal process of preparing for an initial public offering (IPO), marking a major milestone in its journey from startup to publicly listed company.
A Strategic Step Toward Public Markets
At the heart of this development is Razorpay’s invitation to investment banks to pitch for roles in managing its upcoming IPO. The company has reached out to merchant bankers with prominent names like Kotak Mahindra Capital and Axis Capital emerging as frontrunners to handle what could be a sizeable public issue.
The planned IPO is expected to involve a fresh equity issue of up to ₹4,500 crore, though the final size and timing will depend on market conditions and the approval of Razorpay’s board. Sources familiar with the process suggest that the IPO could take place toward the end of 2026, positioning Razorpay for a listing on Indian stock exchanges by year end.
This move is more than just a capital-raising exercise. It signals Razorpay’s confidence in its growth narrative and its readiness to meet the scrutiny and regulatory requirements that come with being a public company.
Why Now? The Road to the IPO
Razorpay’s emergence as an IPO contender didn’t happen overnight. The company has spent the past few years strengthening its financials, refining its offerings, and aligning its corporate structure for a public listing. One notable step was its conversion into a public limited company a procedural move that sets the groundwork for a future IPO.
Before this, in May 2024, Razorpay completed a significant corporate restructuring known as a “reverse flip,” shifting its corporate domicile from the United States back to India. This process involved paying approximately $150 million in taxes and was widely seen as a strategic repositioning to align more closely with Indian regulatory frameworks ahead of a public listing.
Razorpay’s decision to invite banker pitches is a clear sign that the company is transitioning from planning to execution. By initiating this formal phase, Razorpay is shaping its public debut at a time when investor interest in Indian tech IPOs is growing.
Strong Growth, Strategic Expansion
Razorpay’s appeal to public market investors is rooted in its rapid growth and expanding footprint. In the fiscal year 2024–25, the company reported a 65% jump in consolidated operating revenue to ₹3,783 crore, compared with ₹2,296 crore in the previous year. Its gross profit also climbed significantly, reaching ₹1,277 crore.
Despite this impressive growth, Razorpay did report a net loss for the year, mainly due to substantial spending on its employee stock ownership plan (ESOP) and one-time costs linked to its re-domiciling exercise.
Beyond its financials, Razorpay has steadily expanded its product ecosystem. From its core payment gateway which handles online transactions for businesses the company now offers point-of-sale (POS) solutions, business banking via RazorpayX, payroll and lending solutions, insurance products, loyalty programs, and cross-border payments. This broad suite of financial tools reflects Razorpay’s ambition to be more than just a payments provider, positioning it as a one stop platform for business financial services.
Market Context and Broader Trends
Razorpay’s IPO aspirations come at a time when India’s startup ecosystem is gearing up for a wave of public listings. Data suggests that at least 20 startups are in various stages of preparing for IPOs, driven by a strong equity market and a post-pandemic recalibration of valuations.
The country’s fintech sector, in particular, has become a hotbed for investment and innovation. Razorpay’s move toward an IPO places it alongside other major tech companies exploring public markets, such as Pine Labs and Groww, which have already listed or made their intentions known.
What Lies Ahead
As Razorpay engages with investment banks and refines its IPO strategy, several key questions remain: What will the final issue size be? How will market conditions shape investor appetite? And at what valuation will Razorpay step into the public arena?
What is clear is that the company’s leadership co-founders Harshil Mathur and Shashank Kumar are steering Razorpay with an eye on long-term growth and public market readiness. The founders have maintained significant stakes in the business, and their vision for Razorpay extends well beyond a listing.
For Indian startups and investors alike, Razorpay’s IPO preparations represent a bellwether moment a sign of the market’s maturation and the growing confidence in homegrown tech champions. As the company moves deeper into 2026, all eyes will be on how this fintech giant charts its course from private wunderkind to publicly traded flagship.
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