The deal is the largest stand-alone U.S. listing by a Japanese company

Davis Polk advised Goldman Sachs & Co LLC, J.P. Morgan Securities LLC, Mizuho Securities USA LLC and Morgan Stanley & Co. LLC as representatives of the underwriters in connection with the $879.8 million initial public offering of PayPay Corporation, consisting of an aggregate 54,987,214 American depositary shares (ADS), each representing one common share, sold by PayPay and SVF II Piranha (DE) LLC, an investment fund controlled by Softbank Group Corp., as selling shareholder. The ADSs are listed on the Nasdaq Global Select Market under the symbol “PAYP.” A portion of the ADSs were offered pursuant to a public offering without listing (POWL) to institutional and retail investors in Japan. The underwriters have a 30-day option to purchase up to an additional 8,248,081 ADSs to cover over-allotments. 

The deal is the largest U.S. IPO by a Japanese company since the IPO of Line Corporation in 2016, and the largest stand-alone U.S. listing by a Japanese company.

PayPay offers a digital finance platform with services that range from easy-to-use payments services to a full suite of financial services for consumers and businesses in Japan. PayPay’s payment business is anchored by PayPay, Japan’s leading code-based mobile payment platform, and PayPay Card, its integrated credit card service, and its financial service business offerings are provided by its subsidiaries PayPay Bank Corporation and PayPay Securities Corporation, which provide various app-based banking and investing services.

The Davis Polk corporate team included partners Christopher Kodama, Byron B. Rooney and Daniel P. Gibbons, counsel Chihiro Sasaki and associates Maarten van der Plas and Andrew Masaru Orita. Counsel Alon Gurfinkel and associate Kelli A. Rivers provided tax advice. Partner Pritesh P. Shah and associate Francesca Masella provided intellectual property advice. Counsel Marcie A. Goldstein provided FINRA advice. Members of the Davis Polk team are based in the Tokyo, New York and London offices.

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