SoftBank-backed Japanese fintech giant PayPay is advancing with a U.S. initial public offering (IPO) on the Nasdaq, aiming for a valuation of up to $13.4 billion. The company plans to sell nearly 55 million American depositary shares (ADS) priced between $17 and $20, which could raise approximately $1.1 billion at the top end of the range. PayPay intends to list under the ticker symbol "PAYP."
The IPO structure involves PayPay Corp. offering about 31 million ADSs, while an affiliate of the SoftBank Vision Fund II will sell approximately 24 million shares. The company expects net proceeds of around $555 million from its portion of the offering. If successful, this would rank among the largest U.S. listings by a Japanese company in recent years.
The timing of the offering is being tested by global market volatility. PayPay briefly delayed its IPO roadshow following market turbulence linked to geopolitical tensions and Middle East conflicts, which unsettled energy and bond markets. Despite this, analysts like Matt Kennedy of Renaissance Capital suggest that strong domestic fintech platforms can still attract investor appetite during uncertain periods, and PayPay's move signals confidence in its underlying business.
The offering has attracted interest from major cornerstone investors, including Qatar Holding (a subsidiary of the Qatar Investment Authority), Visa International, and the Abu Dhabi Investment Authority. These entities have indicated non-binding interest in purchasing up to $220 million worth of shares, subject to final pricing.
Founded in 2018 as a joint venture between SoftBank Group and Yahoo Japan, PayPay has grown rapidly to become a leader in Japan's digital payments ecosystem. It boasts around 72 million registered users, fueled by aggressive expansion tactics like waiving merchant fees and promoting cashless QR-code-based payments. For the nine months through December 2025, the company reported a profit of ¥103.3 billion on revenue of ¥278.5 billion.
A notable aspect of PayPay's business is its foray into cryptocurrency. In October 2025, PayPay formed a strategic capital and business alliance with Binance Japan, acquiring a 40% stake in the crypto exchange. This partnership aims to connect PayPay's massive user base with Binance's blockchain infrastructure to expand crypto access in Japan. However, this move has sparked some debate, with critics on social media flagging it as a potential regulatory risk given the uncertain global climate for digital asset platforms.
