Sameer Nigam: 'We can't IPO until we have clarity on market share regulations for UPI'  PhonePe holds 48% UPI market share, concerns over potential 30% cap by NPCI  Company reports 73% revenue incr...

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- Sameer Nigam: 'We can't IPO until we have clarity on market share regulations for UPI'
- PhonePe holds 48% UPI market share, concerns over potential 30% cap by NPCI
- Company reports 73% revenue increase to Rs 5,064 crore for FY24
- Nigam highlights regulatory challenges unique to fintech startups
- PhonePe eyes global expansion in Europe and Middle East with investor backing 

 Source: [Moneycontrol](https://www.moneycontrol.com/news/business/startup/phonepes-sameer-nigam-rules-out-ipo-until-there-is-clarity-on-upi-market-share-rules-12809182.html)

PhonePe CEO Delays IPO Plans Due to UPI Market Share Uncertainty

Journalist

PhonePe CEO Delays IPO Plans Due to UPI Market Share Uncertainty- Grapevine

Welcome to Indian Startups's Private Community

1. Migrating PhonePe to India 1B $ in useless tax

2. Like that stupid separation of PhonePe from Flipkart ~0.7B $

3. Now this 3.5B$ just to increase its stake when it was already a majority owner! What's going on?

Why does Walmart keep pumping soo much money even with unnecessary things with Flipkart?

Maybe, 
  
 Taking on Reliance retail and Amazon in India? 
 Tech infra for Walmart (random guess)  
 100% or ownership yields absolute power

Product Manager

Data engineer

https://www.moneycontrol.com/news/business/startup/phonepe-may-open-its-app-store-to-developers-to-counter-google-apple-clout-11413351.html

Why is phonepe trying to do everything? Delved into e commerce via pincode,stock broking via share.market and now app store . Is UPI market getting too competitive

Software Engineer

Walmart owns majority share in both PhonePe and Flipkart, PhonePe is a separate entity from Flipkart, but why is Flipkart itself entering into UPI ecosystem when it is dominant in e-commerce and PhonePe is dominant in UPI and payments.

Why is Walmart letting both organisations go against one another by building Flipkart UPI seems weird and waste by burning money.

Is it hoping Flipkart UPI to get market share from Amazon Pay or something else is at play here ?

Why not pitch PhonePe inside Flipkart app heavily instead ?

Why Flipkart built UPI ?

- PhonePe Group reported revenue of INR 5064 Cr for FY23-24, a 74% increase from INR 2914 Cr in FY22-23.
- The company achieved an Adjusted PAT of INR 197 Cr for FY23-24, reversing a loss of INR 738 Cr from the previous year.
- Standalone Payments business recorded an Adjusted PAT of INR 710 Cr for FY23-24, compared to a loss of INR 194 Cr in FY22-23.
- Growth driven by market leadership, platform reliability, and cross-selling a diverse product portfolio.
- CFO Adarsh Nahata and CEO Sameer Nigam emphasize sustainable growth, revenue diversification, and disciplined financial management. 

 Source: [Phonepe](https://www.phonepe.com/press/phonepe-grows-revenue-at-74-y-o-y-and-turns-adjusted-pat-positive)

PhonePe Achieves 74% Revenue Growth and Turns Adjusted PAT Positive

RBI guidelines regarding lending has started hitting hard on fintechs. Phonepe was about to pivot its business model to lending to turn profitable.

Heading back to the stone age

Consultant

- NPCI is expected to set a 1.2% interchange fee for pre-sanctioned credit lines on UPI, with a circular likely next week.
- The credit line will not be available for person-to-person transfers, focusing instead on merchant transactions.
- Interchange fees are crucial for covering the risk and interest for the capital deployed by credit issuers.
- Negotiations are ongoing between NPCI, banks, and UPI apps regarding revenue sharing, with TPAPs like PhonePe and Google Pay likely to get 0.08% commission.
- The product has faced delays due to a lack of strong business cases, but NPCI mandates may drive adoption.

NPCI Likely to Announce 1.2% Interchange for Credit Line on UPI

Google Pay/PhonePe etc. don't need to go below 30% market share for another 2 years, sahi hai

Operations Manager

Does anyone have any insights on how RBI plans to remove the gpay and phonepe duopoly? Saw some news here and there, any insider information?

UPI duopoly RBI plan

Product Owner

- Digital payment platform **PayU** has deferred its IPO plan to the next fiscal year. 
- The company had previously planned to go public in H2 2024, but has now extended this timeline. 
- **PayU** regained its payment aggregator license in April this year after it was returned by the RBI due to its complex corporate structure. 
- The company has a base of over 500,000 merchants in India and generates over $60 billion in annualized transaction volume. 
- Despite a slow revenue growth and slipping into losses, **PayU** is eyeing profitability and has laid off around 100 employees from its credit team.

Source: [Entrackr](https://entrackr.com/2024/10/exclusive-payu-defers-ipo-plan-to-next-fiscal-year/)

PayU Delays IPO Plan to Next Fiscal Year

https://www.reuters.com/business/retail-consumer/indias-flipkart-get-600-mln-walmart-under-new-fundraise-2023-12-21/


Flipsters in grapevine, where is this capital getting consumed? Is it all for new businesses (clear trip, grocery etc)?

PhonePe CEO Delays IPO Plans Due to UPI Market Share Uncertainty

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