[Update] Pine Labs IPO Closes With 2.5X Oversubscription

Update | November 11, 19:20 IST

Pine Labs’ IPO closed with a 2.46X oversubscription today. The public issue received bids for 24.09 Cr shares against 9.78 Cr shares on offer. 

The employees’ category saw the highest subscription at 7.35X. They placed bids for 9.72 Lakh shares against 1.32 Lakh shares on offer.

Qualified institutional buyers (QIBs) placed bids for 20.97 Cr shares against 5.24 Cr shares on offer, translating to 4X oversubscription. Within this segment, foreign institutional investors (FIIs) bid for 8.69 Cr shares, while mutual funds and domestic financial institutions placed bids for 10.84 Cr and 1.33 Cr shares, respectively.

The non-institutional investors’ (NIIs) segment saw only a 30% subscription, receiving bids for 80 Lakh shares against 2.71 Cr shares on offer.

Meanwhile, retail investors’ was oversubscribed 1.22X, receiving bids for 2.21 Cr shares compared to 1.81 Cr shares available for them.

Original | November 11, 13:15 IST

Fintech major Pine Labs’ IPO was subscribed 72% till 12:18 IST on the final day of bidding today. The issue received bids for 7.06 Cr shares as against 9.78 Cr shares on offer. 

Employees’ quota saw the highest interest and was oversubscribed 5.87X. It received bids for 7.76 Lakh shares against 1.32 Lakh shares on offer. 

The retail investors’ segment was oversubscribed 1.04X. It attracted bids for 1.88 Cr shares against 1.81 Cr shares reserved.

The non-institutional investors’ category saw just 16% subscription, getting bids for 43 Lakh shares as against 2.71 Cr shares available for bidding.

Qualified institutional investors placed bids for 4.67 Cr shares as against 5.24 Cr shares on offer, translating to 89% subscription. 

Pine Labs has set a price band of INR 210 to INR 221 for the IPO. The company’s shares are expected to list on the bourses on November 14. 

The IPO comprises a fresh issue of up to INR 2,080 Cr and an offer-for-sale (OFS) component of up to 8.23 Cr shares. Peak XV Partners, Temasek, PayPal and Mastercard are among the investors offloading stakes via the OFS. 

At the upper end of the spectrum, the total size of the IPO is about INR 3,900 Cr and values the company at INR 25,377 Cr (about $2.8 Bn). 

Pine Labs plans to deploy the proceeds of the fresh issue to repay or prepay its borrowings, invest in overseas subsidiaries, and bolster its tech infrastructure

Last week, the company raised INR 1,753.8 Cr from 71 anchor investors, including SBI Mutual Fund, Nomura India, Massachusetts Institute of Technology, HSBC, ICICI Prudential, Franklin Templeton Investment, Morgan Stanley, Tata Digital India Fund, among others.

Founded in 1998 by Lokvir Kapoor, Tarun Upadhyay and Rajul Garg, Pine Labs offers digital payments solutions for merchants, consumer brands and enterprises in India and overseas markets like Malaysia, the UAE, Singapore, Australia, the US and Africa. 

Pine Labs turned profitable in the first quarter (Q1) of FY26 on the back of a one-time tax credit of INR 9.6 Cr. The company reported a net profit of INR 4.8 Cr as against a loss of INR 27.9 Cr in Q1 FY25. Meanwhile, revenue from operations zoomed nearly 18% YoY to INR 615.9 Cr in Q1 FY26. 

In FY25, Pine Labs’ net loss narrowed 57% to INR 145.4 Cr from INR 341.9 Cr in the previous fiscal year. Operating revenue grew 28% to INR 2,274.3 Cr from INR 1,769.5 Cr in FY24.