Fractal Analytics Files for $560 Million IPO, Valuation Could Reach $3.5 Billion

Fractal Analytics, India's first AI unicorn, has filed for a $560 million IPO, potentially valuing the company at over $3.5 billion. The IPO aims to capitalize on investor demand for AI and India's adoption of consumer technologies. Fractal offers AI products and services to improve operational efficiency and supply chains for clients such as Citigroup, Philips, and Nestle. The company reported a 25.9% increase in revenue to 27.65 billion rupees for FY22.

Fractal Analytics, India's first AI unicorn, has filed for an initial public offering (IPO) that could value the company at over $3.5 billion. The IPO aims to capitalize on investor demand for artificial intelligence and India's adoption of consumer technologies. Fractal offers AI products and services to help enterprises improve operational efficiency, design new products, and build sustainable supply chains. The company reported a 25.9% increase in revenue to 27.65 billion rupees for FY22.

The IPO, which is expected to raise approximately 49 billion rupees ($560 million), includes a fresh issuance of shares worth 12.79 billion rupees and an offer-for-sale of 36.21 billion rupees by Quinag Bidco, TPG Fett Holdings Pte, and GLM Family Trust. The proceeds from the IPO will be utilized for various purposes, including repaying debt, purchasing laptops, setting up new office premises, and funding research and development and sales and marketing under the Fractal Alpha segment [1].

Fractal Analytics, founded in 2000 by Srikanth Velamakanni and Pranay Agrawal, has a global customer base that includes marquee clients such as Citigroup, Royal Philips NV, and Nestle SA. The company's valuation topped $1 billion in 2022, and it has since expanded its offerings to include generative AI solutions developed in partnership with OpenAI [2].

The company's IPO is being arranged by Kotak Mahindra Bank, Morgan Stanley, Axis Capital, and Goldman Sachs Group Inc. [2]. Fractal Analytics' strong financial performance, with a profit of 220.6 crore in FY25 and a 25.9% increase in revenue, has drawn significant interest from investors. The company's growth prospects are further bolstered by its participation in the IndiaAI Mission, a government initiative aimed at developing indigenous AI technologies [2].

References:
[1] https://www.moneycontrol.com/news/business/ipo/tpg-apax-partners-backed-ai-solutions-provider-fractal-analytics-files-draft-papers-for-rs-4-900-cr-ipo-13447299.html
[2] https://www.bloomberg.com/news/articles/2025-08-12/india-s-first-ai-unicorn-fractal-files-for-560-million-ipo