Fractal Analytics is set to launch a ₹2,800 crore IPO in early February

Fractal Analytics, one of the leading artificial intelligence (AI) and analytics firms, is planning to launch its Initial Public Offering (IPO) in the first half of 2026, according to the sources.

Initially, the firm had set the size of its IPO to ₹4900 crore, which now reduced to ₹2,800 crore, sources said.

As per the sources, the IPO will be a combination of a fresh issue of ₹1000 crore and an Offer-for-Sale of up to ₹1800 crore. If the IPO moves forward, we can expect the company’s valuation to be around ₹18,000 crore.

Kotak Mahindra Capital Company, Morgan Stanley India Company, Axis Capital, and Goldman Sachs (India) Securities are the book-running lead managers to the issue.

The proceeds of ₹264.9 crore from the fresh issue will be utilized towards the repayment of borrowings of subsidiary Fractal USA. A portion of ₹57.1 crore will be used to purchase laptops, ₹121.1 crore to build new office premises in India, and ₹355.1 crore for R&D and sales & marketing. Lastly, the remaining funds will be used for the company’s general corporate purposes.

Founded in March 2000, Fractal Business has been divided into 2 main parts: Fractal.ai, which offers AI services and products through its platform Cogentiq, and Fractal Alpha, which includes independent AI businesses to drive innovation across various industries.

Moreover, in June 2025, the company had raised ₹1700 crore from high-net-worth individuals in a pre-IPO round.

In FY25, the company generated revenue of ₹2,765.4 crore, up from ₹2,196.3 crore in the previous year, reflecting a growth by 25.9%. In FY25, the profit also rose to ₹220.6 crore, while in the previous year, there was a loss of ₹54.7 crore.

Jagat Joshi

Founder of IPOWatch, brings nearly 15 years of experience in IPO analysis and market research. He provides complete coverage of upcoming IPOs, subscription trends, grey market premiums (GMP), and post-listing performance, along with easy-to-understand reviews, insights, and analysis. In his working journey, he has worked with various platforms and received expertise in stock market analysis and primary markets.

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