Capillary Technologies Files Draft IPO Papers To Raise Rs 430 Crore

Capillary Technologies Ltd. on Thursday filed its preliminary papers with the Securities and Exchange Board of India, to raise funds via an initial public offering. The public offer will include mix of fresh issues of shares worth Rs 430 crore and an offer-for-sale of 1.83 crore shares by existing shareholders.

The equity shares are proposed to be listed on the National Stock Exchange of India and BSE Ltd. The company, in consultation with the BRLMS, may consider an issue of equity shares aggregating up to Rs 86 crore as pre-IPO placement. If the pre-IPO placement is completed, the amount raised under the pre-IPO placement will be reduced from the fresh issue.

Capillary Technologies International Pte. is the promoters of the company offloading shares in the offer for sale. Investors selling shares include Ronal Holdings LLC, Trudy Holdings, Filter Capital India Fund I, Sripathi Venkata Ramana Reddy, Harminder Sahni, Adarsh Reddy B, Sudhakar Reddy Katanguri, Sripathi Damodar Reddy, and Manjunath Nanjaiah.

JM Financial Ltd., and IIFL Capital Ltd. are the book-running lead managers for the issue and Nomura Pvt. will be the registrar of the issue.

The proceeds from the fresh issue, amounting to Rs 120 crore, will be utilised for funding its cloud infrastructure cost while Rs 151.54 crore will be used for investment in research, designing, and development of its products and platform.

The company plans to use Rs 10.32 crore for investment in the purchase of computer systems for its business, funding inorganic growth through unidentified acquisitions and general corporate purposes.

The Bengaluru-based company offers artificial intelligence-based cloud-native Software-as-a-Service products and solutions primarily to enterprise customers. Its customers and brands are diversified across verticals and include conglomerates and businesses engaged in retail, consumer packaged goods, healthcare, apparel, departmental stores, luxury and lifestyle, travel, auto and hospitality, and energy retail verticals.

It has also been diversifying the industry verticals that it caters to and has added customers in the energy retail, CPG, healthcare and banking, financial services, and insurance and telecommunications verticals.

The company is among the few players in the loyalty management space that offer end-to-end loyalty solutions, which include its advanced loyalty management platform, connected engagement platform, predictive analytics platform, rewards management platform, and customer data platform for its customers.

Capillary Technologies' revenue from operations increased by 13.93% from Rs 525.10 crore in fiscal 2024 to Rs 598.26 crore in fiscal 2025, primarily on account of an increase in retainership and other services. The company has turned profitable in fiscal 2025, with Rs 13.28 crore against a loss of Rs 59.38 crore in fiscal 2024.