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Shareholders of PayMate has approved the conversion of PayMate into a public company ahead of its DRHP filing

PayMate had last month appointed former Visa employee Kevin Phalen as an independent director

It is eying for a $400 Mn IPO in the domestic market

Mumbai-based B2B payment solutions provider PayMate has now converted itself into a public company ahead of its public listing. In a meeting held in late January, the shareholders of PayMate approved the conversion of the company from PayMate India Private Limited to PayMate India Limited.

The startup in its regulatory filings has mentioned that the conversion of the company was required to file the draft red herring prospectus (DRHP). Conversion of a company into a public company is the first step required by any Indian company to file its offer prospectus with the market regulator SEBI. 

After the conversion, the company within a month, is likely to file for its DRHP which will include the offer of the IPO, shareholding pattern of the company, financials, and other important information that SEBI will go through before giving an approval. 

Inc42 on September 21 had exclusively reported that PayMate was in talks to raise around $100 Mn in its Pre-IPO round which will help the 16-year-old company to achieve the unicorn status. 

The startup in December roped in former Visa employee Kevin Phalen as an independent director. Appointment of an independent director is another standard procedure startups follow while gearing up for an IPO. 

Phalen who was working as head of global commercial business at Visa will help PayMate team for global expansion.

The startup has also announced that it has launched its services in the United Kingdom of Saudi Arabia. 

Founded by Ajay Adiseshann and Probir Roy in 2006, PayMate enables enterprise and small-medium enterprises (SMEs) businesses to automate and digitise their entire procurement to payment cycle (procure-to-pay). Its product features include vendor management and payments, customer payments, invoicing, supply chain financing options, and more.

The startup is backed by investors such as Recruit Strategic Partners, the venture capital arm of Japanese firm Recruit Co. Ltd., Brand Capital, Mayfair 101 and payments giant Visa 

As per media reports, PayMate is eyeing for a $400 Mn public offer in the domestic market. PayMate will now join the likes of Ecom Express, Navi, Pine Labs, PharmEasy who are yet to file their DRHP with the market regulator.