Pine Labs raises $285m in new funding round for merchant commerce platform

Pine Labs, an Indian merchant commerce platform company, has raised $285 million in a new financing round at a valuation of over $3 billion.

The new funding round saw the participation of Baron Capital Group, Marshall Wace, Duro Capital, Ward Ferry Management, and Moore Strategic Ventures.

Apart from that Pine Labs’ existing investors – Temasek, Sunley House Capital, and Lone Pine Capital took part in the funding round.

Pine Labs caters to large, mid-sized, and small merchants in Asia and the Middle East.

The company’s cloud-based platform is said to help it provide a range of payment acceptance and merchant commerce solutions. These include enterprise automation systems like inventory management and customer relationship management.

Pine Labs’ stored value platform includes issuing, processing, and distribution of digital gift cards for corporate customers across the world.

Pine Labs raises $285m in new funding round for merchant commerce platform. Photo courtesy of Markus Winkler from Pixabay.

Currently, the Indian fintech company is claimed to serve 150,000+ merchants. Recently, Pine Labs introduced its buy now, pay later proposition in Malaysia and has plans to expand its integrated pay later instalment solution to newer markets across Southeast Asia.

In April 2021, Pine Labs signed a $45 million deal to acquire Fave, a Southeast Asian consumer fintech platform that offers QR payments and loyalty cashback to restaurant and retailers.

Amit Rajpal – CEO and Portfolio Manager of Marshall Wace Asia said: “We are very excited to be a part of the technological transformation that Pine Labs is driving on the ground in payments and the multiple interlinkages and efficiencies it is able to create by providing faster, cost effective consumer access to a broader range of financial products such as BNPL (Buy Now Pay Later), where it is driving a pioneering effort on behalf of the financial system.

“We are also excited about an Indian business being able to drive regional and potentially global adoption of its Intellectual Property and this represents significant optionality for the future.”

Pine Labs said that in addition to primary proceeds, the company enabled secondary transactions for its founder, early shareholders, and employees as it is already a well-funded company with a robust balance sheet, while being EBITDA profitable for several years.

B. Amrish Rau – CEO of Pine Labs said: “We’re thrilled to welcome marquee investors like Marshall Wace, Baron Capital Group, Ward Ferry Management, Duro Capital and Moore Strategic Ventures to the already pristine cap table of Pine Labs.

“This is an exciting phase in our journey as we enter newer markets. We excel in enterprise merchant payments and now want to scale new frontiers in the online space as well, at the same time continue to power the credit and commerce needs of our offline merchant partners.”