Pine Labs IPO Set to Open on November 7, 2025: Key Risks You Should Know

Pine Labs Limited has announced its Initial Public Offering (IPO), structured as a book-built issue amounting to ₹3,899.91 crore. The issue comprises a fresh issue of 9.41 crore equity shares aggregating to ₹2,080 crore, and an offer for sale (OFS) of 8.23 crore shares totaling ₹1,819.91 crore.

The subscription window for the Pine Labs IPO will open on November 7, 2025, and close on November 11, 2025. The basis of allotment is expected to be finalised on November 12, 2025, and the company’s shares are proposed to be listed on both the BSE and NSE with a tentative listing date of November 14, 2025.

The price band has been set between ₹210 and ₹221 per share, with a lot size of 67 shares per application. Retail investors are required to make a minimum investment of ₹14,807 (based on the upper price band).

Objectives of the Issue

The company plans to utilise the net proceeds from the IPO for several strategic and financial purposes. A portion of the funds amounting to ₹532 crore will be allocated towards the repayment or prepayment, in full or in part, of certain borrowings availed by the company and its subsidiaries. Additionally, ₹60 crore will be invested in its overseas subsidiaries Qwikcilver Singapore, Pine Payment Solutions Malaysia, and Pine Labs UAE to strengthen its international footprint.

Pine Labs also intends to deploy around ₹760 crore for investments in IT infrastructure, including cloud technologies, technology development initiatives, and procurement of data capture points (DCPs). The remaining proceeds will be used for general corporate purposes and potential inorganic acquisitions, providing flexibility for future growth opportunities.

Pine Labs IPO: Key Risks You Should Know

Potential risks associated with the Pine Labs IPO include:

• The company has incurred losses in recent periods, including a loss of ₹1,454.87 million in FY2025, driven by high operational expenses (104.29% of total income). There is no assurance of profitability in the near term.
• Pine Labs has reported negative cash flows from operations, amounting to ₹2,811.93 million for the quarter ended June 30, 2025, and may continue to face liquidity pressures.
• The business heavily depends on retaining and expanding its customer base; any decline could adversely impact financial performance.
• Revenue concentration remains high, with the top 10 customers contributing 29.30% (Q1 FY2026) and 30.95% (FY2025) of total operational revenue. The loss of key clients could significantly affect business results.
• The company’s operations are subject to stringent oversight by the Reserve Bank of India (RBI) and ReBIT (Reserve Bank Information Technology Pvt. Ltd.). Any adverse findings or regulatory actions could negatively affect its operations and prospects.

Also Read: PhysicsWallah IPO Set to Open on November 11: What You Need to Know

About Pine Labs Limited

Incorporated in 1998, Pine Labs Limited is one of India’s leading merchant commerce platforms, offering point-of-sale (POS) systems, digital payment solutions, and merchant financing services. The company caters to a diverse range of businesses, from small retailers to large enterprises, by enabling seamless payment acceptance and value-added financial services.

• Smart POS Devices: Facilitate acceptance of payments via credit/debit cards, UPI, mobile wallets, and EMIs.
• Buy Now, Pay Later (BNPL): Provides instant EMI options for consumers at the point of purchase.
• Merchant Financing: Offers short-term working capital loans to merchants through financial partners.
• Loyalty & Gift Solutions: Supports brands in running loyalty programs, issuing digital gift cards, and managing promotional campaigns.
• E-commerce & Online Payments: Delivers APIs and payment gateway solutions to support online stores and mobile applications.

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.