Indian fintech PayNearby has planned to launch its IPO in the next financial year to fund its expansion.
As India is the world’s second largest IPO market, after the US, in H1 2025, it is accounting for 12% of total global proceeds, according to LSEG data. PayNearby’s domestic IPO marks the latest fintech to target an IPO in a market that raised record sums in 2024.
PayNearby’s expansion
PayNearby operates as a branchless banking network, a modern financial services model that provides services as a normal bank does, without making use of physical bank branches. Among the main services that it provides are access to digital payments and DBT funds. The company partners with local stores and it provides them with the means to supply their customers with services and products via the digital tools PayNearby owns. Therefore, PayNearby renders its services on a B2B2C structure.
It offers financial services to retail stores, helping them offer cash withdrawal, remittance, bill payment, and more to their local communities. Other Indian fintechs like Paytm, PhonePe and BharatPe dominate the market with payments and lending. PayNearby aims to have a different approach, building a vast network of neighbourhood retailers to deliver digital services.
The company has already discussed with three merchant bankers regarding the public offering, and is currently choosing the one to go ahead with. After this, it will start the process of filing the draft red herring prospectus. PayNearby projects that its revenue will increase by 10% in the current fiscal year, driven by profit of approximately USD 1.44 million by March 2025. Additionally, the fintech plans to add 500,000 more retailers to that network over the next two years, aiming to hire around 600 employees by the end of FY26.
