Pine Labs, a prominent Asian digital payments provider, is making headlines with potential plans to go public in India. According to sources familiar with the matter, the company is considering an initial public offering (IPO) on the Indian stock exchange. This move comes amidst a surge in investor interest within the Indian market.
The reported goal for this IPO is to raise around $1 billion. Pine Labs also aims high for its valuation, with sources suggesting they hope to achieve a valuation exceeding $6 billion after going public. The structure of the offering could involve issuing both new and existing shares held by current investors. Additionally, there’s a possibility that Pine Labs might pursue a pre-IPO fundraising round to secure additional capital before the official public offering.
These developments signal Pine Labs’ confidence in the Indian stock market and its growth trajectory.
Pine Labs’ proposed IPO of around $1 billion could be a landmark moment for the Indian fintech industry. If successful, it would surpass the record-breaking $2.5 billion IPO achieved by One97 Communications Ltd., the company behind Paytm, in 2021, according to data compiled by Bloomberg. This potential achievement underscores Pine Labs’ confidence in the Indian market and its growth trajectory.
Interestingly, the company had filed confidentially with the US Securities and Exchange Commission for an IPO in 2022.
However, they likely opted for the Indian market due to the booming IPO scene. Data suggests that around $7 billion has been raised via IPOs in India this year, more than triple the volume from the same period in 2023. This surge has made India one of the hottest markets for share sales globally.
The people said that considerations are preliminary, and no final decisions have been made. They said details such as size and value may change. Representatives for Pine Labs and Peak XV declined to comment.
Boasting a vast network of over 500,000 merchants across 3,700 cities in Asia and the Middle East, Pine Labs is a major player in the financial technology sector. According to their website, they offer payment solutions and a wider range of financial services to businesses of all sizes. Their impressive client list includes big names like Sony, BMW, and Samsung.
