As per the draft papers, the company plans to issue fresh shares amounting to Rs 2,600 crore. In addition, existing shareholders, including Peak XV Partners, PayPal, and Mastercard, will offload up to 147.8 million shares in the offer for sale.
The proceeds from the fresh issue will be used to fund the expansion of its overseas business, invest in technology, and pare down debt, the company said.
The Noida-based firm had earlier indicated a fundraising target of Rs 5,000–6,000 crore ($585–702 million), and the filing comes as it gears up for a public listing later this year. Pine Labs had earlier been valued at $5 billion in its last private round in 2022 and may see a valuation of $4–5 billion in the IPO, people aware of the matter said.
Pine Labs recently completed its reverse flip to India from Singapore on April 9, after securing approval from the Chandigarh bench of the National Company Law Tribunal.
Axis Capital, JP Morgan, Morgan Stanley, Citi, and Jefferies are among the key bankers on the issue. As per the draft documents, Morgan Stanley, Citi, and Jefferies are listed as the book-running lead managers.
Also read: Nestle India Bonus Issue: Board approves first-ever 1:1 bonus; shares up 1%
In FY24, the company reported an operating revenue of Rs 1,743 crore, up nearly 10% year-on-year. However, its loss before tax widened to Rs 339 crore from Rs 227 crore in FY23.
Pine Labs will join a list of fintech peers gearing up for IPOs. PhonePe is expected to file its IPO documents by Q3 of this year, while Groww filed its DRHP in May to raise $700 million to $1 billion.
Pine Labs provides end-to-end payment solutions and hardware to merchants and competes with players like Paytm and PhonePe in the digital payments ecosystem.
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