Renowned Merchant payment Solution Company Pine Labs has raised around $600 million funding round. Its target is to go for an IPO with 18 months that is by 2022. Moreover, the company is valued at $3 billion as CEO Amrish Rau.
However, the round was co-led by Fidelity Management and Research Co and BlackRock Inc, with the participation from a fund managed by Neuberger Berman Investment Advisers LLC, IIFL Asset Management Company (AMC), and Kotak.
Notably, IIFL AMC making investments through its late-stage tech fund, on the other hand, Kotak’s investment is subject to approval from the market regulator Securities and Exchange Board of India (SEBI).
Lokvir Kapoor founded Pine Labs in the year 1998. He is a merchant payment solution that permits businesses to accept online and offline digital retail transactions. As per the last press note shared by the company, it powers more than 140,000 merchants, 3.5 lakh points of sale terminals across 3,700 cities and towns in India and Malaysia. Its consumer involves Apple, Starbucks Crop, and McDonald’s Crop among the others. Right now the company is headed by Amrish Rau.
The company works for prominent large, mid-sized, and small merchants across Asia and the Middle East. Pine Labs’ cloud-based platform enables it to offer a wide range of payment recognition and merchant commerce solutions, comprising enterprise automation systems such as inventory management and customer relationship management.
Pine Labs also has a stowed value platform that allows merchants to issue, process, and distribute digital gift cards for corporate consumers around the world.
The company attained Fave, a Kuala Lumpur-based payments and discovery platform, in April 2021. Pine Labs was observing to construct a consumer-centric vertical for discounts and discovery in India and Southeast Asia with this acquisition. Over 6 million consumers across over 40,000 merchant formations now have access to the Fave app, the company said in its recent press note.
“Over the last year, Pine Labs has made significant progress in its offline-to-online strategy in India and the direct-to-consumer play in Southeast Asia. Our full-stack approach to payments and merchant commerce has allowed us to grow in-month merchant partnerships by nearly 100% over the last year,” Rau said in the statement.
Rau in an interview with Bloomberg also discussed Pine Labs’ IPO plan, which will likely take place in the US. “With our size and scale, we want to make it a global IPO…We’ve got a good, Ebitda-positive [earnings before interest, tax, depreciation, and amortization] story as we plan our IPO in the next 18 months,” he added.
Pine Labs has raised more than $1.2 billion to date, and counts Sequoia Capital, Temasek Holdings, Actis, PayPal, and Mastercard, among others, as investors. The newest round is Pine Labs’ fourth funding round in the last 18 months, and its estimation has increased in the same time frame.