Pine Labs Pvt, an Asian digital payments provider backed by Sequoia India and Mastercard Inc., is moving ahead with preparations for a US listing and seeks to raise about $500 million. The company has filed confidentially with the US Securities and Exchange Commission for an initial public offering in New York as soon as in the first half of this year, the people said. The listing could give Pine Labs a valuation of about $5.5 billion to $7 billion, they said, asking not to be identified because the matter is private. Goldman Sachs Group Inc. and Morgan Stanley are the lead banks on the deal, the people said. Considerations are ongoing and details such as the size and timing could still change. The startup, which offers solutions for in-store and online payments as well as prepaid, loyalty and “pay later” programs, is valued at $3 billion.
The deal was followed by an additional $100 million in funding from Invesco Developing Markets Fund. It also counts Temasek Holdings Pte, PayPal Holdings Inc. and Actis Capital among its other investors. India’s largest commercial bank, the State Bank of India, invested $20 million in the startup earlier this month. Pine Labs serves over 150,000 merchants in India, the Middle East and Southeast Asia. The company has expanded both organically and via acquisitions including consumer fintech platform Fave last year. The digital payments gateway and commerce platform, whose main operations are in India, supports payments for enterprise customers including Apple Inc., McDonald’s Corp., and Starbucks Corp.