Pine Labs has filed its draft red herring prospectus (DRHP) with the stock market regulator Securities and Exchange Board of India (Sebi) to raise Rs 2,600 crore through a fresh issue and an offer for sale (OFS) of up to 147.8 million shares.
The Noida-based merchant payment processor is backed by some of the biggest names in global fintech investing. Peak XV Partners (formerly Sequoia India), Temasek’s Macritchie Investments, PayPal, Mastercard, Invesco, Actis, and Madison India are among the investors looking to partially exit through the OFS. Cofounder Lokvir Kapoor is also offloading a portion of his stake.
ET had reported on June 11 that Pine Labs was preparing to file its DRHP by the end of the month. The fintech major, which was founded back in 1998, has made its filings close on the heels of Groww, another wealthtech startup, which filed for IPO through the confidential route on May 24.
Once listed, Pine Labs will compete with fellow publicly traded payment companies like Paytm, Mobikwik, and CC Avenue.
Peak XV Partners, which currently owns around 20% of the company, will sell the largest chunk at nearly 39 million shares. PayPal is selling over 11.5 million shares, while Mastercard and Temasek are trimming about 10 million and 14.8 million shares, respectively. Mastercard, Actis, PayPal, and Temasek are the significant shareholders in the firm—each with more than 5% shareholding.
Pine Labs has also enabled a pre-IPO placement of up to Rs 520 crore, which, if executed, will reduce the fresh issue size, the company said in its draft papers.
The company recently merged its Singapore entity into the Indian arm ahead of the IPO. Axis Bank, Morgan Stanley, Citi, JP Morgan, and Jefferies are the lead managers of the offer.
Laying out the plans around utilisation of the funds raised through the public issue, the company said that it will repay partially or in full certain funds it had borrowed, invest in its business operations in Southeast Asia and West Asia, and invest in technology and acquisition purposes.
Pine Labs will spend around Rs 60 crore in international expansion, investing primarily in hiring senior talent and strengthening the technology stack as per regulatory requirements.
Pine Labs closed the first nine months of FY25 with an operating revenue of Rs 1,208 crore, up 23% from Rs 982 crore last year. The company turned profitable in FY25 with a net profit of Rs 26 crore till December FY25, compared to a net loss of Rs 151 crore a year back. The payments firm managed to turn profitable on revenues showing steady growth, while expenses were brought under control. Its total expenses grew marginally to Rs 1,238 crore till December 2025 compared to Rs 1,205 crore a year back.
In terms of its clients, Pine Labs serves a base of 915,731 merchants, 666 consumer brands and enterprises, and 164 financial institutions across India and other markets globally.
By December 2024, the company said that it processed around Rs 7.5 lakh crore worth of transactions, up 68% from Rs 4.4 lakh crore settled till December last year. Pine Labs acquires merchants for large lenders like HDFC Bank, works closely to offer payments and commerce solutions to large consumer brands like Croma, and also powers merchants looking to sell via both online and offline channels.
The Noida-based merchant payment processor is backed by some of the biggest names in global fintech investing. Peak XV Partners (formerly Sequoia India), Temasek’s Macritchie Investments, PayPal, Mastercard, Invesco, Actis, and Madison India are among the investors looking to partially exit through the OFS. Cofounder Lokvir Kapoor is also offloading a portion of his stake.
ET had reported on June 11 that Pine Labs was preparing to file its DRHP by the end of the month. The fintech major, which was founded back in 1998, has made its filings close on the heels of Groww, another wealthtech startup, which filed for IPO through the confidential route on May 24.
Once listed, Pine Labs will compete with fellow publicly traded payment companies like Paytm, Mobikwik, and CC Avenue.
Peak XV Partners, which currently owns around 20% of the company, will sell the largest chunk at nearly 39 million shares. PayPal is selling over 11.5 million shares, while Mastercard and Temasek are trimming about 10 million and 14.8 million shares, respectively. Mastercard, Actis, PayPal, and Temasek are the significant shareholders in the firm—each with more than 5% shareholding.
Pine Labs has also enabled a pre-IPO placement of up to Rs 520 crore, which, if executed, will reduce the fresh issue size, the company said in its draft papers.
The company recently merged its Singapore entity into the Indian arm ahead of the IPO. Axis Bank, Morgan Stanley, Citi, JP Morgan, and Jefferies are the lead managers of the offer.
Laying out the plans around utilisation of the funds raised through the public issue, the company said that it will repay partially or in full certain funds it had borrowed, invest in its business operations in Southeast Asia and West Asia, and invest in technology and acquisition purposes.
Pine Labs will spend around Rs 60 crore in international expansion, investing primarily in hiring senior talent and strengthening the technology stack as per regulatory requirements.
Pine Labs closed the first nine months of FY25 with an operating revenue of Rs 1,208 crore, up 23% from Rs 982 crore last year. The company turned profitable in FY25 with a net profit of Rs 26 crore till December FY25, compared to a net loss of Rs 151 crore a year back. The payments firm managed to turn profitable on revenues showing steady growth, while expenses were brought under control. Its total expenses grew marginally to Rs 1,238 crore till December 2025 compared to Rs 1,205 crore a year back.
In terms of its clients, Pine Labs serves a base of 915,731 merchants, 666 consumer brands and enterprises, and 164 financial institutions across India and other markets globally.
By December 2024, the company said that it processed around Rs 7.5 lakh crore worth of transactions, up 68% from Rs 4.4 lakh crore settled till December last year. Pine Labs acquires merchants for large lenders like HDFC Bank, works closely to offer payments and commerce solutions to large consumer brands like Croma, and also powers merchants looking to sell via both online and offline channels.