Core Insights - Tiger Global and Microsoft are exiting PhonePe as the company approaches a public listing, highlighting how global investors are capitalizing on investments made during India's fintech growth [1] Company Overview - PhonePe, founded in 2015, has evolved into India's largest digital payments platform after being acquired by Flipkart in 2016. The company has diversified its services to include stockbroking, mutual funds, insurance distribution, lending, and an Android app marketplace [5] IPO Details - PhonePe has filed an updated Draft Red Herring Prospectus (UDRHP) with SEBI for an IPO consisting of a pure offer-for-sale (OFS) of 5.06 crore equity shares, with no new shares being issued, meaning all proceeds will go to selling shareholders [2] - WM Digital Commerce Holdings, owned by Walmart, will sell 4.59 crore shares (approximately 9.06% of PhonePe's paid-up equity), while Tiger Global and Microsoft will offload the remaining 47.17 lakh shares, marking their complete exit from the company [3] Shareholder Structure - A total of up to 50.66 million shares are being offered, representing a significant liquidity event for investors. General Atlantic Singapore PPIL is the largest public shareholder with an 8.98% stake, followed by Headstand with 5.73% [4] Market Position - PhonePe leads the UPI ecosystem by transaction volumes, processing 9.81 billion transactions worth ₹13.6 trillion in December 2025, surpassing Google Pay's 7.50 billion transactions worth ₹9.6 trillion [6] Financial Performance - The company reported a 40% year-on-year increase in operating revenue to ₹7,115 crore in FY25, while narrowing net losses to ₹1,727 crore from ₹1,996 crore the previous year. In H1FY26, revenue was ₹3,918 crore with losses of ₹1,442 crore [7] - PhonePe was valued at approximately $12 billion in a January 2023 funding round and aims for a higher valuation in the upcoming IPO, reflecting investor confidence in its market leadership and expanding financial services [7]