Pine Labs’ Strategic IPO: Balancing Valuation and Global Expansion
Pine Labs, a prominent Indian fintech firm specializing in merchant commerce solutions, is set to launch its initial public offering (IPO) from November 7 to November 11, 2025. The company has established a price band of ₹210 to ₹221 per share, aiming for a valuation of approximately ₹25,377 crore (around $2.9 billion) at the upper end. This valuation marks a significant reduction of about 40% from its previous private valuation of over $5 billion in 2022.
In its updated prospectus, Pine Labs has adjusted the IPO structure by reducing the primary offering by 20% to ₹20.8 billion (approximately $234 million) from the initially proposed ₹26 billion. Additionally, the offer for sale (OFS) has been cut by 44%, now comprising 82.3 million shares, down from the 148 million shares planned earlier. Key existing investors, including Peak XV Partners, Temasek Holdings, PayPal, and Mastercard, are among those selling part of their holdings in this offering.
CEO Amrish Rau explained that the decision to reduce the offering size was influenced by existing investors’ preference to retain a larger portion of their shareholdings. He emphasized the company’s commitment to maintaining goodwill and garnering support for the IPO, stating, We believe we were able to maintain that because, at the end of the day, it takes a village to come together to create a successful IPO.
Founded in 1998, Pine Labs began by providing point-of-sale terminals for merchants. Over the years, it has expanded its services to include bill payments through platforms like Amazon Pay and CRED, as well as facilitating account-aggregator-based transactions. Currently, approximately 70% of the company’s revenue is derived from its digital infrastructure and transaction services, with the remaining 30% coming from its issuing and acquiring businesses.
Pine Labs has demonstrated strong financial performance, turning profitable in the June 2026 quarter with a net profit of ₹47.86 million and revenue of ₹6.16 billion. This financial stability has allowed the company to reduce equity dilution and debt servicing needs, contributing to the decision to adjust the IPO size.
The IPO is part of a broader trend of tech-driven companies in India seeking public listings, with firms like Groww, Lenskart, and boAt also planning IPOs. Pine Labs’ move aligns with the Indian government’s push to position the country as a global fintech hub. The company currently serves over 980,000 merchants across 20 countries and reported a 58% revenue growth from international markets between 2023 and 2025.
As Pine Labs prepares for its public debut, it continues to focus on expanding its international footprint and enhancing its suite of fintech services, aiming to solidify its position as a leader in the global fintech landscape.
