Pine Labs, a merchant commerce startup, has received the green light from a Singapore court to merge its local entity with its Indian unit.
The fintech will merge its entities in both countries, effectively transferring all of its assets and operations to India.
The shift is expected to bring numerous benefits to Pine Labs, including business synergies, economies of scale, cost savings, and a streamlined shareholding structure, according to the startup’s court filing obtained by TechCrunch.
Pine Labs provides an array of services including cloud-connected point-of-sale machines and working capital solutions.
The firm is valued at over US$5 billion with an investor base that includes Peak XV, Fidelity, Invesco, Temasek, PayPal, and Alpha Wave.
The startup joins a growing list of Indian startups relocating their domiciles to India.
Meesho, Zepto, Flipkart, Razorpay, and Udaan are also considering similar moves, while fintech companies PhonePe and Groww have already completed their transitions.
An anonymous investor in the Indian startup ecosystem noted that firms are shifting their bases to India due to the limited coverage and demand they face in developed markets unless their valuations exceed US$20 billion.
In contrast, tech companies in India often trade at a premium due to high demand.
