(Reuters) -Indian fintech firm Pine Labs has cut the size of its initial public offering, trimming by 44% the portion offered by existing investors and by 20% the new shares issued to raise funds, an updated prospectus showed.
The IPO, scheduled for November 7 to November 11, joins a wave of listings in a busy primary market. A provider of payment solutions such as point-of-sale terminals, Pine Labs competes with firms such as Paytm and Walmart-owned PhonePe.
Existing investors, such as Peak XV Partners, PayPal and Mastercard, will now look to sell a total of 82.3 million shares, down from the 147.8 million planned in June’s draft prospectus.
The company is also looking to raise 20.8 billion rupees ($236.65 million), down from 26 billion ($295.81 million) in June, its October 31 prospectus showed.
Indian regulations let companies modify their IPO size to a certain extent after they file draft papers.
Reuters could not immediately determine why Pine Labs trimmed its offer, and its expected valuation after the IPO.
The company was eyeing a $6-billion valuation at the time of the June filing, sources had told Reuters.
Pine Labs did not immediately respond to a Reuters query.
The updated prospectus shows Peak XV will aim to sell 23 million shares, while PayPal and Mastercard plan to dispose of 6.7 million and 5.9 million, respectively.
London-based private equity firm Actis and Singapore-based Temasek are also among the investors paring their stakes.
India is the third-largest IPO venue this year, expected to exceed a record of $20.5 billion in funds raised in 2024 amid blockbuster listings by companies such as LG Electronics India.
Share sales by other tech-driven firms such as Groww, Lenskart, and boAt are also in the pipeline.
Pine Labs reported a profit of 261.44 million rupees for the nine months ended December 2024, off revenue of 12.08 billion.
($1=87.8950 rupees)
(Reporting by Vivek Kumar M and Ashwin Manikandan; Editing by Clarence Fernandez)
