Indian fintech firm Pine Labs hits $2b valuation after fresh capital raise

India’s Pine Labs announced that it has raised an undisclosed amount of funding from Lone Pine Capital, bringing the company’s valuation to US$2 billion, it said in a statement.

Photo credit: Pine Labs

The funding raised in the new financing round is said to be between US$75 million and US$100 million, according to a Financial Express report.

Pine Labs offers payment acceptance and commerce solutions to merchants, including enterprise automation systems such as inventory management and customer relationship management. The company said it serves prominent large, mid-sized, and small merchants across Asia and the Middle East.

“It’s time to invest heavily in offline and online commerce across India and Southeast Asia,” said B. Amrish Rau, CEO of Pine Labs. He added that small businesses and consumers are fast adopting digital commerce and contactless checkout.

Recently, the company also announced plans of launching their integrated “pay later” solution in five Southeast Asian markets early next year to offer consumers the flexibility of zero-interest installments on purchases.

The global “pay later” market is expected to grow from US$7.3 billion in 2019 to US$33.6 billion in 2027, according to a study by Coherent Market Insights.

The company has also made a strategic investment in deals curation platform Fave to provide cashless payment solutions to over 50,000 merchants across Malaysia and Singapore, among other countries.

Pine Labs claims to serve more than 150,000 merchants in 3,700 cities across Asia and the Middle East. Its key investors include Sequoia India, Actis Capital, Temasek, and PayPal.

The fintech firm became the first Indian company in 2020 to reach unicorn status after it had raised about US$100 million to US$150 million from card network behemoth Mastercard in January.