The latest IPO on the radar – Fintech company Pine Labs is gearing up to launch its initial public offering (IPO) on November 7. The public issue, which combines both fresh equity and an offer for sale, will be available for subscription till November 11.
Ahead of its official opening, let’s take a look at the key details every investors need to know before applying –
Pine Lab IPO: Price band and lot size
The company has fixed the IPO price band between Rs 210-221 per share. Each share carries a face value of Rs 1.
Investors can bid for a minimum of 67 shares and in multiples of 67 thereafter.
Pine Labs IPO: Size and valuation of the issue
Through this public offering, the company is planning to raise a total of about Rs 3,900 crore at the upper end of the price band, valuing the company at up to Rs 25,377 crore.
The IPO is a mix of a fresh issue and an offer for sale. The issue includes a fresh share sale worth Rs 2,080 crore and an offer for sale (OFS) of 8.23 crore shares by existing investors such as Peak XV Partners, PayPal, and Mastercard.
Pine Labs IPO: Issue structure and investor quota
The public issue is divided among investor categories as per SEBI norms. Qualified Institutional Buyers (QIBs) will get not less than 75% of the issue.
For the Non-Institutional Investors (NIIs), they can subscribe up to 15%. Meanwhile, retail investors will have access to 10% of the shares.
In addition to this, the company has also reserved shares worth Rs 25 million for eligible employees. The company has offered them a discount of Rs 21 per share.
Pine Labs IPO: Timeline and listing details
Anchor investors will be allotted shares on November 6. The IPO will then open to the public on November 7 and close on November 11.
The basis of allotment will be finalised on November 12, with refunds and demat credit expected on November 13. Pine Labs shares are likely to be listed on both BSE and NSE on November 14.
Pine Labs IPO: Fund utilisation
The company plans to use the fund raised from the fresh issue for three main purposes.
These include – Rs 532 crore for debt repayment, Rs 60 crore for international expansion and Rs 760 crore for technology upgrades and investments.
Pine Labs IPO: Financial performance of the company
Talking of the financial health of the company, the revenue for FY25 grew 28.52% YoY. Specifically, the revenue from digital infrastructure and transaction platform increased 25.60%. The growth in digital check-out points and higher affordability solutions and fintech infrastructure transaction volumes added to the revenue growth. This segment contributed 70.49% of the total revenue earned from operations.
Pine Labs IPO: Overview of the company
Pine Labs is a key player in the fintech space. It offers payment solutions such as POS terminals, merchant financing, and digital transaction tools. Moreover, it competes with other major players in the segment like Paytm and PhonePe.