Pine Labs raises $285 Mn in a fresh round at over $3 Bn valuation

Point-of-sale device company and merchant commerce platform Pine Labs has scooped up $285 million in a new round from Baron Capital Group, Duro Capital, Marshall Wace, Moore Strategic Ventures and Ward Ferry Management. Existing investors Temasek, Lone Pine Capital and Sunley House Capital also participated in the round.

According to Pine Labs, the fresh proceeds will be utilised to further scale its merchant commerce and online payments product stack. The company recently launched its buy now, pay later proposition in Malaysia and plans to expand the payments solution to newer markets in Southeast Asia.

Besides the primary funding, Pine Labs has also enabled secondary transactions for its founder, employees and early shareholders. While the company did not divulge the post-money valuation, sources aware of the development estimate it between $3-3.2 billion. 

Pine Labs has become the third most valued fintech company after Paytm and PhonePe. Last month, Razorpay raised $160 million at a valuation of around $3 billion. BharatPe is also set to enter the $3 billion valuation club with an upcoming funding round.

The fresh fund has come in less than five months for the Singapore-incorporated company which raised an undisclosed round at a valuation of $2 billion. Pine Labs’ key investors include Sequoia India, Actis Capital, Temasek, PayPal, Mastercard and Lone Pine Capital.

Pine Labs had recently entered into the e-commerce enablement and consumer payments segments after the acquisition of Malaysia-based Fave. The company acquired the South East Asian payments platform in a $45 million cash and stock deal.

The company claims to serve more than 150,000 merchants in 3,700 cities across Asia and the Middle East and covers large, mid-sized and small merchants across the two regions. Its cloud-based platform offers a wide range of payment acceptance and merchant commerce solutions including enterprise automation systems and customer relationship management.

With the acquisition of Fave, Pine Labs is also launching the former’s payments app in India. The app will allow consumers to make transactions at nearly 5 lakh physical retail points and merchants powered by Pine Labs.