Pine Labs, a digital payments and financial services company, has filed for a $500 million 'confidential' initial public offering (IPO) with the US Securities and Exchange Commission.

According to the sources, the company, which is slated to make its market debut on US markets later this year, may seek a valuation of $6 billion to $7 billion. However, the final specifics on the IPO's size and pricing are still being worked out.

When compared to typical S-1 filings in the US, where one must reveal the whole picture of the firm's finances and other data points, a confidential IPO allows a company to keep its financial information and other facts hidden from competitors for a longer length of time.

Pine Labs announced earlier this month that India's largest lender, State Bank of India, had invested $20 million in the company without providing any other specifics. Falcon Edge was in talks to invest at least $100 million in Pine Labs, and the overall capital round might grow to $200 million in size.

Just months after raising $600 million in two tranches from a bevvy of public market investors, including Fidelity Management & Research Co. and BlackRock Inc., the company raised $100 million from the US-based Invesco Developing Markets Fund in September. Pine Labs was valued at $3.5 billion at the time.

Sequoia Capital, Temasek Holdings, Actis, PayPal, and Mastercard are among the investors in Pine Labs. After One97 Communications Ltd.-owned Paytm, digital payments giant PhonePe, and merchant-focused fintech Razorpay, the Noida-based firm is one of the country's most valuable fintech startups.

Through a relationship with Mastercard and the acquisition of loyalty startup Fave in April of last year, the company has been actively growing its presence in Southeast Asian regions. This year, it intended to expand into West Asia.