SoftBank’s PayPay Files for US ADR Listing, IPO Could Raise Over $2 Billion

SoftBank Group Corp announced on Friday that its payments app subsidiary, PayPay Corp, has officially filed to list American depositary shares (ADRs) in the United States. While the company did not disclose the precise timeline, offering size, or pricing details, the move signals SoftBank’s latest push to monetise its growing fintech portfolio.

Sources familiar with the matter told Reuters earlier this week that SoftBank has engaged Goldman Sachs, JPMorgan Chase, Mizuho Financial Group, and Morgan Stanley to manage the potential initial public offering (IPO). The listing could raise more than $2 billion and may take place as early as the fourth quarter of 2025, according to the report.

Founded in 2018, PayPay has played a pivotal role in accelerating Japan’s transition to cashless payments. The app gained traction by offering generous rebates to users and has since expanded into banking, credit cards, and other digital financial services. It now boasts tens of millions of users, making it one of Japan’s largest mobile payment platforms.

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SoftBank, which will retain control of PayPay after the flotation, has been considering a U.S. market debut for the unit since at least 2023. If the IPO materializes, it will be SoftBank’s first U.S. listing of a majority-owned business since the blockbuster debut of chip designer Arm Holdings in 2023. Arm went public with a valuation of $54.5 billion and has since seen its market value soar past $145 billion.

The PayPay IPO comes at a time when U.S. equity markets are experiencing a long-awaited rebound in public offerings. Strong earnings from major tech firms and optimism over global trade talks have buoyed investor sentiment. This marks a sharp contrast to earlier in the year, when uncertainties around President Donald Trump’s tariff policies had slowed the pace of new listings.

PayPay is jointly owned by various SoftBank entities, including its telecom arm SoftBank Corp, the Vision Fund, and LY Corp — a joint venture between SoftBank and South Korea’s Naver Corp.