- Cult.fit plans to file draft red herring prospectus with SEBI on Monday
- The IPO is expected to be worth about Rs 4,000 crore combining fresh shares and offer for sale
- Offer for sale likely to be Rs 3,000 crore with fresh issue around Rs 950 crore
Cult.fit, the Bengaluru-based fitness and wellness platform backed by Temasek, Zomato and Accel, is set to file its draft red herring prospectus with market regulator the Securities and Exchange Board of India (SEBI) on Monday, according to people familiar with the matter.
The proposed initial public offering is expected to be worth about Rs 4,000 crore and will comprise a combination of fresh shares and an offer for sale by existing investors, the people said. The offer for sale component is likely to account for roughly Rs 3,000 crore, while the draft papers will provide for a fresh issue of about Rs 950 crore, they added.
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The company is also evaluating a pre-IPO fundraising round. Any capital raised before the public issue would be adjusted against the fresh issue portion of the IPO, according to the sources. The final size, valuation and structure of the offering remain subject to ongoing deliberations and market conditions.
Founded in 2016 by Mukesh Bansal and Ankit Nagori as Cure.fit before rebranding to Cult.fit, the company operates one of India's largest fitness and wellness platforms, spanning gyms, digital fitness subscriptions, sportswear and fitness equipment.
The company follows a hybrid online-offline model and has built a nationwide presence through its Cult centres and Cultpass subscription ecosystem.
Investor interest in the company remains strong. In March, Singapore's Temasek invested Rs. 440 crore through its MacRitchie unit, increasing its stake to nearly 12%.
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