SoftBank-backed PayPay's initial public offering (IPO) is likely to be priced near the lower end of its marketed range, according to sources familiar with the matter. The IPO, which is for the Japanese digital payments company, comes as geopolitical tensions continue to roil global markets.
PayPay is offering 55 million American depositary shares (ADS) with an initial price range of $17 to $20 per share. Pricing at the lower end could still give PayPay a valuation of approximately $13.4 billion. The book for the IPO was reportedly oversubscribed by more than five times, indicating strong investor interest despite the market uncertainty. The final pricing is expected to be determined after U. S. market hours today.
The company has played a significant role in Japan's shift toward cashless payments, boasting around 72 million registered users by the end of 2025. PayPay gained traction by waiving transaction fees for small and medium-sized businesses and through cashback programs. The IPO roadshow was previously postponed due to market volatility stemming from conflict in the Middle East.
Goldman Sachs, J. P. Morgan, Mizuho, and Morgan Stanley are acting as joint book-running managers for the offering. PayPay intends to list on the Nasdaq under the ticker symbol "PAYP". This IPO marks SoftBank's first U. S. public offering of a majority-owned company since the Arm IPO in 2023.
