Fintech firm Pine Labs raises Rs 1,754 crore from Morgan Stanley, Nomura, other anchor investors

Noida-based fintech major Pine Labs has raised Rs 1,754 crore from anchor investors ahead of its initial public offering (IPO), which opened for subscription on November 7.

The company allotted 7.93 crore equity shares at Rs 221 per share, the upper end of its price band of Rs 210-221, according to a filing with the National Stock Exchange (NSE).

The anchor book drew participation from more than 70 institutional investors, including domestic mutual funds and global institutions such as Morgan Stanley, Nomura, Amundi Funds, and The MIT Retirement Fund.

Leading domestic investors, including SBI Mutual Fund, ICICI Prudential Life Insurance Company Ltd, Axis Mutual Fund, Aditya Birla Sun Life, also took part. Nearly 47% of the total anchor allocation went to 12 domestic mutual funds through 30 schemes.

The IPO, amounting to Rs 3,899.91 crore, includes a fresh issue of Rs 2,080 crore and an offer for sale (OFS) of Rs 1,819.91 crore by existing shareholders. Funds from the fresh issue will be used for debt repayment, technology upgrades, and international expansion.

Among existing shareholders, Peak XV Partners (formerly Sequoia Capital India) stands to gain the most from the OFS, booking an estimated 39.5X return on its investment. Madison India and Sofina Ventures are also expected to realise 5.6X and 4.7X returns, respectively.

According to the red herring prospectus (RHP), Pine Labs recorded a 28.5% year-on-year rise in revenue to Rs 2,274 crore in FY25, up from Rs 1,769 crore in FY24, while its net losses narrowed by 57% to Rs 145 crore. In the first quarter of FY26, the company turned profitable, posting a net profit of Rs 4.7 crore on revenue of Rs 616 crore.

The IPO will remain open for subscription until November 11, with share allotment expected on November 12 and listing on the BSE and NSE on November 14.

Retail investors can bid for a minimum of 67 shares per lot, requiring an investment of Rs 14,807 at the upper price band, while the maximum investment for retail participants is capped at Rs 1,92,491 for 13 lots.