SoftBank has appointed a group of investment banks to prepare for a potential U.S. initial public offering (IPO) of its Japanese mobile payments operator, PayPay, two people familiar with the matter said.
Goldman Sachs, JPMorgan Chase & Co, Mizuho Financial Group, and Morgan Stanley are leading preparations for the listing, the sources noted. The IPO could raise more than $2 billion and may take place as early as the final quarter of this year, they added.
The sources, who requested anonymity as the details are not public, cautioned that the timing and fundraising target could change depending on market conditions. SoftBank, Goldman Sachs, JPMorgan, Mizuho, and Morgan Stanley declined to comment.
PayPay has played a key role in shifting Japanese consumers away from their long-standing reliance on cash, offering rebates to encourage mobile app payments.
Reuters first reported two years ago that SoftBank was weighing a U.S. listing for PayPay. Earlier this year, the conglomerate confirmed its intention to take the business public. If completed, this would mark the first U.S. IPO of a SoftBank majority-owned company since the blockbuster debut of Arm Holdings in 2023. Arm was valued at $54.5 billion at listing and now boasts a market capitalization exceeding $145 billion.
The U.S. IPO market has been regaining momentum, fueled by strong tech earnings and optimism over trade negotiations, reversing a slowdown earlier this year amid uncertainty over President Donald Trump’s tariff policies.
PayPay’s ownership is split among several SoftBank entities: wireless carrier SoftBank Corp, the Vision Fund investment arm, and internet firm LY Corp — a joint venture between SoftBank and South Korea’s Naver Corp.
Source: Reuters
