Indian fintech company Pine Labs is aiming for a valuation of as much as US$6 billion in its planned initial public offering (IPO), according to a source with direct knowledge, Reuters reported.

The company is looking to raise approximately US$304 million through the issuance of new shares.

Additionally, existing shareholders such as Peak XV, PayPal, and Mastercard plan to offload up to 147.8 million shares, based on the draft red herring prospectus filed with India’s market regulator.

Pine Labs, which offers point-of-sale payment systems and other merchant-focused solutions, was last valued at US$5 billion following a funding round in 2022.

The firm is targeting a valuation in the range of US$5 billion to US$6 billion for the IPO, the source said.

Funds from the listing will be used to support international expansion, advance its technology platforms, and reduce debt.

The IPO is set to take place amid renewed foreign investor interest in Indian equities, following a slow start to the year for domestic listings.

Pine Labs reported revenue of 13.41 billion rupees for the financial year ended March 2024, up from 12.91 billion rupees the year before.

However, net losses deepened to 1.87 billion rupees from 562 million rupees over the same period.

Morgan Stanley, Citi, and Jefferies are serving as bookrunners for the offering.

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