Fractal Analytics Files DRHP with Sebi to Raise ₹4,900 Crore via IPO

Mumbai-based Fractal Analytics has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to launch an initial public offering (IPO) worth nearly ₹4,900 crore.

Founded in 2000 by Srikanth Velamakanni and Pranay Agrawal, Fractal Analytics provides AI-driven data insights and decision-support solutions to global enterprises. Its marquee clients include Microsoft, Apple, Amazon, Alphabet, Meta, Nvidia, and Tesla.

The public issue comprises:

•          Fresh issue of shares worth ₹1,279.3 crore

•          Offer for Sale (OFS) of shares worth ₹3,620.7 crore

The OFS will see equity shares sold by existing shareholders, including:

•          Quinag Bidco Ltd – ₹1,462.6 crore

•          TPG Fett Holdings Pte. Ltd – ₹1,999.6 crore

•          Satya Kumari Remala and Rao Venkateswara Remala – ₹29.5 crore

•          GLM Family Trust – ₹129 crore

Equity shares, with a face value of Re 1 each, will be offered through a book-building process. Allocation will include 75% for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors, and 10% for retail investors, with up to 5% reserved for employees.

Proceeds will be directed towards investing in Fractal USA, covering infrastructure, new office space in India, research and development, and sales and marketing under Fractal Alpha. Funds will also support potential acquisitions and general corporate purposes.

Fractal reported a 25.9% rise in revenue to ₹2,765 crore in FY25 from ₹2,196 crore in FY24. The company also turned profitable, with a PAT of ₹220 crore in FY25, compared to a loss of ₹54.7 crore in FY24.

The IPO is being managed by Kotak Mahindra Capital, Morgan Stanley India, Axis Capital, and Goldman Sachs India.