Pine Labs has acquired a 100% stake in Shopflo Technologies, a direct-to-consumer (D2C) checkout platform, in a deal valued at up to Rs 88 crore. This strategic acquisition underscores the growing consolidation in the fintech and e-commerce enablement space and strengthens Pine Labs’ push toward building a full-stack commerce platform.
According to a regulatory filing, Pine Labs will complete the acquisition within three months, and it will execute the transaction entirely in cash. Consequently, the move reflects the company’s strong financial position and commitment to expanding its digital payments ecosystem.
Founded in December 2021, Shopflo builds checkout infrastructure and e-commerce enablement tools designed to improve conversion rates for online brands. The company reported revenue of Rs 14.7 crore in FY25, rising from Rs 9.1 crore in FY24 and Rs 0.63 crore in FY23, thereby demonstrating strong growth in the D2C technology segment.
In 2022, Shopflo raised around Rs 24.5 crore ($2.6 million) in seed funding from Better Capital, Tiger Global Management and TQ Ventures. All existing investors will exit the company as part of the deal. “This is our first investment after going public and will be fully funded through internal accruals,” said Amrish Rau, chief executive officer of Pine Labs. “Even before going public, we had around Rs 1,100 crore in cash.”
Moreover, Pine Labs stated that the acquisition will enable it to offer an integrated platform for merchants across offline payments, online checkout, and customer engagement. As a result, the company aims to deliver a seamless omnichannel commerce experience, aligning with its broader strategy to build a full-stack payments and commerce platform.
Additionally, Shopflo provides checkout optimisation tools, analytics, and e-commerce solutions that help reduce cart abandonment and improve payment success rates. These capabilities will complement Pine Labs’ existing payments infrastructure, thereby enhancing value for merchants operating in the online retail ecosystem.
Currently, Shopflo serves more than 1,000 online brands and has enabled transactions for over 60 million consumers. Notably, merchants using its platform have reported a 15–20% improvement in conversion rates, highlighting the platform’s effectiveness in driving e-commerce growth and customer retention.
Founded by Priy Ranjan along with Ankit Bansal and Ishan Rakshit, the startup gained attention in 2022 when Tiger Global made its first seed investment in India through Shopflo. Since then, the company has raised about $3.7 million from investors including Tiger Global, TQ Ventures, and Better Capital, strengthening its position in the startup ecosystem.
Meanwhile, Pine Labs’ online payments business reported approximately 50% year-on-year growth in Q3 FY26, with revenue increasing to Rs 744 crore from Rs 601 crore in the same period last year. Furthermore, the company posted a net profit of Rs 42 crore in the quarter, compared to a loss of Rs 57 crore in Q3 FY25, indicating a strong financial turnaround. Its Q4 results are currently awaited.
With this acquisition, Pine Labs strengthens its foothold in the rapidly growing D2C ecosystem by combining robust payments infrastructure with advanced checkout capabilities. As competition intensifies in the fintech and e-commerce sectors, the move positions Pine Labs to offer merchants a unified, scalable platform across online and offline channels, thereby driving innovation and accelerating growth in the digital commerce landscape.
