Pine Labs, a payment technology company backed by PayPal and Mastercard, successfully listed on the stock exchange on Friday, with its shares closing 14% higher despite a reduced valuation for its $440 million initial public offering (IPO). The company’s stock opened at ₹242 and rose to ₹284 before settling at ₹252, giving it a market capitalization of ₹289 billion.
The listing marks a significant milestone for Pine Labs, which has been expanding its presence beyond India into 20 markets, including Malaysia, Singapore, Australia, the UAE, the U.S., and parts of Africa. Founded in 1998, the company has evolved from a point-of-sale terminal provider to a broader payments platform supporting various services.
Pine Labs’ Financial Performance and Growth
Pine Labs reported a net profit of ₹47.86 million in the June quarter, compared to a loss of ₹278.89 million a year earlier, driven by a 17.9% year-over-year increase in revenue from operations to ₹6.16 billion. The company’s overseas business contributed around 15% of its total revenue, rising to ₹943.25 million from ₹795.97 million a year earlier.
The company’s financial performance indicates a strong recovery, with its revenue growth and profitability improvement likely to be key factors in its future success. According to Amrish Rau, CEO of Pine Labs, the company plans to continue expanding its geographic footprint while deepening its presence in India with new products and services.
Market Trends and Implications for Fintech Listings
Pine Labs’ listing is part of a broader wave of Indian startups choosing to go public, driven by strong domestic investor appetite and favorable regulatory conditions. The global finance sector has been the top IPO sector this year, with IPOs worth $34.34 billion so far in 2025, more than doubling the $14.05 billion raised over the same period in 2024, according to Dealogic.
The success of Pine Labs’ listing is expected to boost investor confidence in the Indian fintech sector, potentially paving the way for more listings in the coming months. Existing investors, including Peak XV Partners, Temasek Holdings, PayPal, and Mastercard, sold part of their holdings in the public listing, realizing gains from their investments.
Investor Sentiment and Future Prospects
Shailendra Singh, managing director at Peak XV Partners, highlighted Pine Labs’ focus on competing on a superior proposition rather than price, shaping the firm’s worldview on investing in companies with strong moats. The company’s ability to maintain its competitive edge will be crucial in driving its future growth.
As Pine Labs continues to expand its presence in India and globally, its financial performance and ability to innovate will be key factors to watch. The company’s plans to deepen its presence in India with new products and services aimed at the country’s rapidly expanding consumer base are expected to drive its future growth.
With its public debut, Pine Labs is poised to capitalize on the growing demand for digital payment solutions in India and beyond. The company’s future prospects will depend on its ability to maintain its competitive edge and continue innovating in the fintech space.
