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Japanese mobile payments powerhouse PayPay Corp., backed by SoftBank Group Corp., filed documents Thursday with the U.S. Securities and Exchange Commission for a proposed initial public offering, positioning itself for a high-profile entrance onto U.S. public markets.

The company is advised by Simpson Thacher & Bartlett LLP, while the underwriting syndicate is represented by Davis Polk & Wardwell LLP.

Like a digital tollbooth on Japan’s cashless highways, PayPay has become a dominant force in the country’s code-based payments landscape. Yet the filing leaves key details blank: no offering price range and no specified number of American Depositary Shares.

A Digital Finance Titan in Japan

Launched in 2018, PayPay’s app has grown into a financial super-app with 40 million monthly users. According to its filing, the company controls roughly 64% of Japan’s code-based payment market share — a commanding slice in a nation rapidly abandoning physical cash.

“We operate a highly scalable and integrated digital finance platform that serves as an all-in-one solution for users and merchants,” the company said in its filing, describing a two-sided network linking tens of millions of consumers with millions of merchants.

The ecosystem spans everyday transactions and extends into banking, credit, investments and other financial services. The company describes itself as a clear leader in Japan’s cashless economy, offering one of the most expansive service suites in the market.

In a country where QR codes have become as common as vending machines, PayPay’s platform acts as connective tissue across payments and financial products — a digital marketplace humming beneath daily commerce.

From Red Ink to Profitability

The financial trajectory outlined in the filing suggests a company that has shifted gears decisively.

For the fiscal year ended March 31, 2025, PayPay reported total revenue of ¥299.1 billion (about $1.9 billion) and operating profit of ¥35.5 billion (roughly $232.3 million). The company said it transitioned from losses to profitability over the past three fiscal years.

For the nine-month period ended Dec. 31, PayPay posted profit of ¥103.3 billion (approximately $675.4 million) on revenue of ¥278.5 billion (around $1.8 billion), underscoring accelerating earnings momentum.

Investment bank Renaissance Capital estimated Thursday that the offering could raise as much as $2 billion, a figure that would make the SoftBank-backed PayPay IPO one of the more substantial fintech listings of the year.