PayPal, Mastercard Backed Pine Labs to Raise $700 Million via IPO in October

India based digital payments company Pine Labs Ltd., backed by PayPal and Mastercard, is preparing for an IPO of up to $700 million in October. The offering, including fresh shares and investor sell-offs, reflects strong investor interest in fintech amid India’s digitisation push, as per a news report by the Moneycontrol.

Pine Labs’ IPO Plans

Pine Labs has officially filed its draft prospectus with India’s market regulator on June 25 and received approval this month. The company now plans to raise up to $700 million through an initial public offering (IPO) in the second half of October.

Originally targeting a $1 billion IPO, Pine Labs scaled down the offering after existing investors reduced their offer-for-sale portion. The planned IPO includes:

• Fresh share issuance: ₹26 billion (~$295 million)
• Sale of 147.8 million shares by the founder and investors, including Peak XV Partners, Pine Investment Holdings, and Invesco Investment Funds.

Strategic Context

The IPO comes amid a surge in fintech listings in India, driven by the government’s push for digital payments. Pine Labs provides point-of-sale (POS) payment solutions in India and international markets such as Singapore, Malaysia, and the UAE.

Despite posting a loss of ₹1.9 billion on revenues of ₹13.4 billion in FY24, investor interest in the company remains strong, fueled by its robust payment infrastructure and growth potential in the digital payments sector.

Advisors and Roadshows

Pine Labs has begun roadshows to generate interest among potential investors. The IPO is being advised by:

• Axis Bank Ltd.
• Morgan Stanley (India unit)
• Citigroup Inc. (India unit)
• JPMorgan Chase & Co. (India unit)
• Jefferies Financial Group Inc. (India unit)

Deliberations on final IPO size and timing are ongoing, and these details may change before the official launch.

Read More: Upcoming IPO: India’s IPO Market Set for a Record Week with 22 Companies Eyeing ₹5,000 Crore.

Conclusion

Pine Labs’ IPO represents one of the largest listings in India’s fintech space this year. By combining fresh issuance and an investor sell-off, the company aims to leverage growing interest in digital payments while providing liquidity to existing investors. The offering will also mark a key milestone for PayPal and Mastercard backed ventures in India’s rapidly evolving payments ecosystem.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.