Fractal Analytics IPO: The initial public offering (IPO) of Fractal Analytics will open for subscription on February 9, 2026, and close on February 11, 2026. The company is set to raise Rs 2,833.90 crore through a book-built issue, which includes a fresh issue of 11.37 million equity shares aggregating to Rs 1,023.50 crore and an offer for sale of 20.12 million shares worth Rs 1,810.40 crore.
The company has fixed the price band at Rs 857–900 per share, with a lot size of 16 shares. At the upper end of the band, retail investors will need to invest a minimum of Rs 14,400 to apply for the IPO. For non-institutional investors (NIIs), the minimum investment requirement is Rs 2.01 lakh for small NIIs and Rs 10.08 lakh for big NIIs.
The allotment of shares is likely to be finalised on February 12, and the stock is scheduled to list on the BSE and NSE on February 16, 2026. Kotak Mahindra Capital and Axis Capital are the book-running lead managers, while MUFG Intime India is the registrar to the issue.
Fractal Analytics IPO Reservation
As per the IPO reservation structure, qualified institutional buyers (QIBs) will be allocated not less than 75 per cent of the net offer. Retail investors will get up to 10 per cent, while NIIs will be allocated up to 15 per cent of the issue.
Fractal Analytics IPO Objectives
The company plans to use the net proceeds from the IPO primarily to strengthen its balance sheet and support growth initiatives. A portion of the funds will be invested in its subsidiary, Fractal USA, to prepay or repay borrowings, either fully or partially. The company will also allocate funds for the purchase of laptops and for setting up new office premises in India.
In addition, Fractal intends to invest in research and development as well as sales and marketing initiatives under its Fractal Alpha business. The remaining proceeds will be used to fund inorganic growth through potential acquisitions, other strategic initiatives, and general corporate purposes.
Fractal Analytics IPO Valuation
Fractal Analytics IPO is priced at 8.65 times book value. Post-issue, earnings per share (EPS) are expected to drop from Rs 13.74 to Rs 8.25 due to equity dilution, pushing the price-to-earnings (P/E) multiple higher from 65.5 times to 109.12 times. Based on the upper end of the issue's price brand, Fractal’s market capitalisation is estimated at around Rs 15,473.6 crore.
The company's return on net worth stood at 3.6 per cent as of September 30, 2025, much lower than 12.6 per cent at the end of FY25, indicating reduced efficiency in generating returns for shareholders.
The decline in profitability is also visible at the operating level. PAT margin shrunk to 4.50 per cent from 8 per cent, while Ebitda margin eased to 11.90 per cent from 14.40 per cent, indicating pressure on operating margins.
Fractal Analytics: What The Company Does
Founded in March 2000, Fractal Analytics is a global enterprise artificial intelligence (AI) and analytics firm that works with large organisations to drive data-led decision-making. The company develops AI solutions by combining deep technical capabilities with strong domain and functional expertise, according to its red herring prospectus (RHP).
As of September 30, 2025, Fractal Analytics operates through two key segments. Fractal.ai offers AI services and products via its agentic AI platform, Cogentiq, which enables faster product development through embedded tools, governance, low-code capabilities and security features. Fractal Alpha houses independent, growth-focused AI businesses aimed at scaling innovation across industries and geographies.
Fractal counts several large global companies among its clients, including Citi, Costco, Franklin Templeton, Mars, Mondelez, Nationwide, Nestle and Philips.
Fractal Analytics Financials
For the half year ended September 2025, the company reported total income of Rs 1,594.3 crore and a profit after tax of Rs 70.9 crore. In FY25, income came in at Rs 2,816.2 crore, with PAT of Rs 220.6 crore, compared with a loss of Rs 54.7 crore in FY24 and a profit of Rs 194.4 crore in FY23.
Operating performance also moderated in the latest period, with EBITDA at Rs 185.6 crore for the six months ended September 2025, versus Rs 398 crore in FY25. Net worth increased to Rs 1,957.5 crore as of September 2025 from Rs 1,748.3 crore at the end of FY25, while total borrowings stood at Rs 274.6 crore.
