Razorpay's Strategic Relocation and Future Plans

Bengaluru-based fintech unicorn Razorpay is set to relocate its headquarters from the US to India, aligning with the government's efforts to facilitate the return of Indian companies. This move positions Razorpay for a public listing by 2026.

Despite potential tax implications estimated at $300 million, Razorpay's CEO Harshil Mathur emphasizes the straightforward process and long-term benefits. The company is currently seeking approval from the RBI to expedite the transition.

Razorpay, valued at $7.5 billion, has also initiated discussions with investment bankers regarding its public offering. Mathur aims for the payments business to break even before pursuing an IPO.

Over the past decade, Razorpay has served 5 million businesses and 200 million end consumers in India, with an annualized total payment volume of $180 billion. The company's revenue has grown to Rs 2,501 crore in the 2023-24 financial year, with a fivefold increase in net profit to Rs 34 crore.

Looking ahead, Razorpay targets $1 billion in revenue by 2030, with plans to expand its international presence to Singapore following its recent entry into Malaysia.