Fractal Analytics IPO: TPG-Backed AI Company Files DRHP For Rs 4,900 Crore Offer — Check Details

Fractal Analytics Ltd., an artificial intelligence company backed by TPG Capital, filed offer documents for an initial public offering of shares worth Rs 4,900 crore on Tuesday.

The IPO comprises a fresh issue of equity shares aggregating up to Rs 1,279.3 crore and an offer for sale of up to Rs 3,620.7 crore, as per the draft red herring prospectus submitted to the market regulator SEBI.

TPG Fett Holdings Pte. has offered to sell shares worth nearly Rs 2,000 crore, and British private equity firm Apax Partners' affiliate Quinag Bidco Ltd. will offer Rs 1,462 crore. Satya Kumari Remala, Rao Venkateswara Remala and GLM Family Trust are the other selling shareholders in the OFS.

TPG holds 27.27% equity in the company, Apax owns 10.93%, GLM Family Trust has 19.33% and Gaja Capital holds 1.13%, as per the shareholding pattern in the DRHP.

Fractal Analytics may consider a pre-IPO placement of up to Rs 255.8 crore before filing the Red Herring Prospectus.

The company will utilise Rs 355 crore from the proceeds of the fresh issue to invest in R&D and sales and marketing under Fractal Alpha, its incubation business.

It will use Rs 265 crore for debt repayments of its US subsidiary that contributed 78% to the total turnover in FY25. Moreover, Rs 121 crore will be used for setting up new office premises in India.

Kotak Mahindra Capital Co., Morgan Stanley India Co., Axis Capital Ltd and Goldman Sachs (India) Securities Pvt. are the book running lead managers to the IPO.