Pine Labs merges domestic, Singapore entities after NCLT approval

22 Aug, 2024

Pine Labs merges domestic, Singapore entities after NCLT approval

Fintech major Pine Labs has received initial approval from the National Company Law Tribunal (NCLT) to merge its entities in India and Singapore. This first motion approval allows Pine Labs to proceed with filing a second motion for final approval by the NCLT. The company, headquartered in Singapore, is in the process of shifting its domicile back to India, with the merger expected to streamline operations and reduce overhead costs, including administrative and statutory compliances.

The proposed amalgamation aims to consolidate and simplify the group's overall structure, enhancing management efficiency, control, and operational excellence across its various businesses. By avoiding duplication between its operations in India and Singapore, Pine Labs expects to allocate and utilise resources more effectively. The cost associated with this reverse flipping has not been disclosed.

Previously, Pine Labs received approval from a Singapore Court to relocate its base to India. The company is reportedly considering an initial public offering (IPO) valued at $1 billion, which would be the largest IPO by an Indian fintech firm since One97 Communications, the parent company of Paytm, went public in 2021. Pine Labs, based in Noida, has raised $1.32 billion over 14 funding rounds, with a current valuation of $5.8 billion.