SoftBank-backed PayPay aims for $13.4b valuation in US IPO

SoftBank-backed PayPay is targeting a valuation of up to US$13.4 billion in a US IPO that could raise roughly US$1.1 billion at the top end by selling nearly 55 million American depositary shares at US$17 to US$20 each, according to a regulatory filing.

PayPay was founded in 2018 as a joint venture between SoftBank and Yahoo Japan and is a Japanese mobile payments app.

The company had about 72 million registered users at end-2025 and plans to list on Nasdaq under the symbol PAYP with joint book-running managers Goldman Sachs, JP Morgan, Mizuho, and Morgan Stanley, per the filing.

Cornerstone investors, including a subsidiary of Qatar Investment Authority, an arm of Visa, and Abu Dhabi Investment Authority, have expressed interest in purchasing up to US$220 million of shares.

🔗 Source: Reuters

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Implications, context, and why it matters.

PayPay earns more than payment fees

PayPay had about 72 million registered users at end-2025. Part of its valuation rests on moves into higher-margin financial services.
PayPay aims to sell banking, credit, investments, and insurance products to its existing user base 1.
PayPay Invest, launched in 2022, lets users buy and sell securities inside the app starting from 100 yen 2.
The expansion also reaches digital assets. Reuters reported in October 2025 that PayPay agreed to acquire a 40% stake in Binance Japan, adding upside while bringing tougher regulatory scrutiny 1.

The IPO puts SoftBank’s story in the spotlight

A listing could give SoftBank liquidity and set a public-market price for a large unlisted holding 1.
It lands alongside SoftBank’s concentrated artificial intelligence wager on OpenAI, the maker of ChatGPT. Simply Wall St says SoftBank committed over US$30 billion for an 11% OpenAI stake, with another US$30 billion under review 3.
A strong debut would back the plan to list established regional tech firms on broader US markets. PayPay’s structure and timing still depend on market conditions and final IPO terms 1.
Analysts told Reuters that a solid PayPay start could lift confidence in a volatile US IPO market. The outcome would also serve as a gauge of demand for SoftBank’s complex portfolio 4.