Pine Labs Acquires API Fintech Setu for $70-75M

Pine Labs, a leading Indian merchant payments platform, announced the acquisition of Setu, a Bengaluru-based API fintech provider, for approximately $70-75 million. Setu had built a modular API infrastructure platform offering services across payments, lending, and open banking. The acquisition was designed to strengthen Pine Labs' online presence and expand its embedded finance capabilities through Setu's developer-first API products.

Setu's infrastructure enables businesses to integrate financial services such as UPI payments, Account Aggregator data, and lending APIs into their platforms. The deal represents a significant consolidation in India's API-based fintech infrastructure space, combining Pine Labs' merchant network with Setu's developer tools. For Pine Labs, the acquisition adds critical open banking and API capabilities as the company expands beyond its traditional point-of-sale roots.

The combined entity is positioned to offer a comprehensive embedded finance stack to Indian businesses and financial institutions.