Leading fintech company PhonePe is planning to launch its IPO next month. The company aims to raise between $900 million and $1.5 billion from the market through this. In this offer for sale (OFS), which does not issue new shares, the company is estimated to be valued at around $9 billion to $10.5 billion.

The money raised through the IPO will not be used for the company's development, but rather as an opportunity for existing investors to sell their shares and withdraw their investments. Although parent company Walmart will sell about 12 percent of its stake, they will retain the majority of PhonePe's shares. Meanwhile, other major investors such as Tiger Global and Microsoft have decided to sell their entire stake and withdraw.

Currently, PhonePe is the number one in UPI payments in India with a 46.6% market share. However, the company's losses have widened to Rs 1,444 crore in the first half of the current financial year. Therefore, PhonePe is now mainly trying to expand its business into other areas with higher revenue streams, such as merchant payment services, loans, and insurance, rather than focusing solely on UPI transactions to make the company profitable.