Mobile payments company Airtel Money is reportedly considering raising less capital than initially targeted in its initial public offering (IPO), according to people familiar with the matter.

The firm now expects to raise at least $800 million in London, a significant reduction from its earlier goal of $1.5 billion to $2 billion, which was reported in April. Concurrently, the company is weighing a valuation in the range of $8 billion to $9 billion, aligning with prevailing tech stock valuations but falling short of the $10 billion it previously sought. Some of the sources indicated that the lowered valuation in this offering comes after incorporating investor feedback. However, they cautioned that IPO details, including the size and timing, remain subject to change.

The listing process for Airtel Money could kick off as soon as next week. Even with the scaled-back offering, the deal is poised to become one of the larger IPOs on the London Stock Exchange (LSE) in recent years, providing a boost to the exchange. Since 2022, London equity markets have experienced a prolonged IPO drought, a trend that has prompted the LSE to reform its listing rules.

According to information on Airtel Money's official website, the company is a subsidiary of Airtel Africa Plc, with other investors including Mastercard (MA.US) and the Qatar Investment Authority, both holding minority stakes. Airtel Africa's majority shareholder is Bharti Enterprises Ltd, controlled by Indian billionaire Sunil Mittal. The company ranks as Africa's third-largest wireless carrier.

Following years of rapid growth, Airtel Africa has been planning the IPO of Airtel Money. Based on an investor presentation, Airtel Africa's mobile money business generated $1.4 billion in revenue for the fiscal year ending March 31, up 28% year-over-year. The company's shares have remained roughly flat so far this year, gaining just 0.4% through Thursday's close.