Indian AI Firm Fractal Analytics Gets SEBI Approval For ₹4,900 Cr IPO
- ByStartupStory | November 27, 2025
Mumbai-Based Enterprise AI Pioneer Set For India’s First Pure-Play AI Public Listing
Fractal Analytics Ltd, a leading global enterprise AI solutions provider, has received approval from the Securities and Exchange Board of India (SEBI) for its initial public offering (IPO) valued at approximately ₹4,900 crore ($563 million). The IPO comprises a fresh issue of up to ₹1,279.3 crore and an offer for sale (OFS) of up to ₹3,620.7 crore by existing shareholders including Quinag Bidco Ltd (Apax Partners), TPG Fett Holdings, and family trusts.
Funding AI Expansion Amid Strong Financial Turnaround
Net proceeds will repay borrowings of subsidiary Fractal USA, establish new offices in India, fund technology purchases like laptops, boost R&D especially in generative AI, strengthen sales and marketing for Fractal Alpha, pursue acquisitions, and support general corporate purposes. The book-running lead managers include Kotak Mahindra Capital, Morgan Stanley India, Axis Capital, and Goldman Sachs India.
Founded in 2000 by Srikanth Velamakanni and Pranay Agrawal, Fractal serves Fortune 100 clients like Microsoft, Apple, Nvidia, Amazon, and Tesla across FMCG, finance, healthcare, and tech sectors, with 65% revenue from the US. Proprietary platforms include Flyfish (generative AI for sales), Eugine (sustainability analytics), Asper (consumer insights), and Senseforth (conversational AI), plus incubated Qure.ai for healthcare diagnostics.
Path To Profitability Powers Historic Milestone
Fractal reported FY25 revenue of ₹2,765.4 crore (up 25.9% YoY) and net profit of ₹220.6 crore, reversing FY24’s ₹54.7 crore loss, with EBITDA margin at 17.4%. Backed by TPG, Apax, and Gaja Capital (total funding $800M+), co-founders retain ~20% stake without selling in OFS.
This marks India’s first AI-focused IPO amid a SaaS wave, alongside approvals for Amagi Media Labs, positioning Fractal for valuation above $3.5 billion post-listing as enterprise AI demand surges globally.
Follow Startup Story
Related Posts
