Dutch-based technology firm PayU is reportedly eyeing up a listing in India in the coming year as the local smartphone market looks poised for growth.
PayU, which is owned by South African investment firm Prosus, is set to file for regulatory approval for the initial public offering in February, according to sources cited by Reuters.
The offering could be worth as much as US$500 million, the sources said, valuing the payment service provider in the region of US$5 billion and US$7 billion.
Goldman Sachs (NYSE:GS), Morgan Stanley (NYSE:MS) and Bank of America have been appointed as advisors for the initial public offering, sources said, with an Indian investment bank also likely to be involved.
If it goes ahead, the listing could mark one of the largest for a fintech firm in India in recent history, coming as analysts tip the local smartphone market looks set to take off.
Morgan Stanley (NYSE:MS) analysts previously said they expected India’s mobile market to triple in size over the next decade, as economic growth drives firms into what is so far a largely untapped market.
PayU, which provides the likes of buy-now-pay-later services, scored revenue of US$399 million in India over the last financial year, up 31%.