Bengaluru-based fintech unicorn Razorpay, founded by Harshil Mathur and Shashank Kumar, has reportedly received approval from the Securities and Exchange Board of India (SEBI) for its proposed initial public offering (IPO). The company is targeting a stock market debut in the first quarter of calendar year 2027, at a valuation of around $5 billion, according to media reports citing sources familiar with the development.
The proposed public issue is expected to raise approximately $500–600 million, although the final size and valuation could change depending on market conditions and investor demand. The reported timeline corresponds to the fourth quarter of FY27.
Razorpay IPO: $500-600 Mn Issue in the Pipeline
Razorpay had confidentially submitted its draft IPO papers to SEBI in June 2026. The confidential pre-filing route allows companies to seek regulatory feedback without immediately making sensitive financial and business information publicly available.
Axis Capital, Kotak Mahindra Capital, JP Morgan and Citi have been appointed as bankers for the proposed offering, according to reports.
The latest reported valuation target of $5 billion is below the $7.5 billion valuation Razorpay commanded in its 2021 funding round, when it raised $375 million. The proposed IPO valuation reflects a more measured target as the company approaches public markets.
Harshil Mathur and Shashank Kumar Built Razorpay in 2014
Founded in 2014 by IIT Roorkee alumni Harshil Mathur and Shashank Kumar, Razorpay provides payment gateway services and business financial solutions. Its offerings have expanded to include RazorpayX, merchant banking tools, payouts and other payment infrastructure.
The company counts investors such as Y Combinator, Peak XV Partners, Tiger Global, Lightspeed Venture Partners and GIC among its backers.
Reverse Flip Prepared Razorpay for an Indian Listing
Razorpay completed its reverse flip in May 2025, shifting its parent company's domicile from the US to India through a merger with its Indian subsidiary, Razorpay Software India Pvt Ltd.
The restructuring was an important step towards its domestic listing plans. The company had initiated the process in May 2023.
Revenue Climbs 65% in FY25
Razorpay reported consolidated revenue of Rs 3,783 crore in FY25, up 65% from Rs 2,296 crore in FY24. Gross profit increased to Rs 1,277 crore from Rs 906 crore.
However, the company reported a net loss of Rs 1,209 crore in FY25, with one-time employee stock ownership expenses and tax liabilities associated with its reverse-flip process contributing to the loss.
The proposed listing will be an important test of public-market appetite for India's fintech businesses. Investors are likely to assess not just Razorpay's payment-processing scale, but also its profitability, business diversification and ability to sustain growth as it competes with listed and IPO-bound fintech companies.
