Fractal Analytics IPO GMP today
From February 10, 2026, Fractal Analytics’ IPO will have a gray market premium (GMP) of Rs 8 per share, or around 1%, which marks a slight decline from the previous premium of 1.5%. With the IPO price range set at Rs 857 to Rs 900 per share, the implied listing price is estimated at around Rs 908. The shares are trading at a modest premium on the gray market, indicating that investors have a cautiously positive outlook ahead of the stock’s market debut.
Fractal Analytics IPO subscription status
On the first day of bidding, Fractal Analytics’ IPO saw a total subscription of around 9% of the total shares offered of Rs 1.85 crore, according to BSE data. Interest was relatively stronger from Retail Individual Investors (RIIs), who subscribed to 35% of the 32.36 lakh shares reserved for them, indicating early participation from retail investors.
Non-institutional investors (NIIs) showed limited interest and subscribed to around 7% of their allotted shares of Rs 48.55 lakh. Meanwhile, Qualified Institutional Buyers (QIBs) have remained on the sidelines so far as bids have not yet been received for the 97.10 lakh shares earmarked for this category.
Fractal Analytics IPO Details
Fractal Analytics’ market debut is seen as a milestone for India’s primary market as it becomes the first pure-play artificial intelligence company to list on Dalal Street. The Rs 2,834 crore IPO comes at a time when global interest in AI-driven business models remains high even as investors closely assess the tech sector’s valuations.
The public issue consists of a fresh issue worth Rs 1,023 crore, aimed at financing growth initiatives, along with an offer for sale (OFS) of Rs 1,810 crore by existing shareholders. The IPO will be priced between Rs 857 and Rs 900 per share, with investors required to apply for a minimum of 16 shares. At the higher end of the price range, Fractal Analytics’ pre-issue market capitalization is estimated at around Rs 15,474 crore. The company’s shares are expected to be listed on both the BSE and NSE on February 16.
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About the company
Founded in 2000, Fractal Analytics is a global AI and decision intelligence company serving major companies in industries such as consumer goods, technology, healthcare, BFSI and retail. Over the past two decades, the company has developed strong capabilities in data engineering, analytics and artificial intelligence, establishing itself as a long-term partner for enterprises looking to integrate AI into key decision-making processes.Fractal operates through two main segments: Fractal.ai, which focuses on AI services and platforms, including the Cogentiq agentic AI offering, and Fractal Alpha, which houses product-driven and IP-driven AI companies.
Financial performance
On the financial front, the company recorded a strong turnaround in FY25. Revenue rose to Rs 2,765 crore, a growth of nearly 26% year-on-year, while profit after tax recovered sharply to Rs 221 crore, compared to a loss of Rs 55 crore in the previous fiscal.
EBITDA margins also showed meaningful improvement, reaching around 14%, thanks to operating leverage and better utilization of delivery teams. Analysts emphasize that the return to profitability is a key factor boosting investor confidence, although the company remains sensitive to fluctuations in global technology spending.
Analyst ratings and analyses
In the higher price range of Rs 900, Fractal is valued at a steep multiple compared to traditional IT services providers. According to Swastika Securities, post-issue valuations imply a high earnings multiple but also reflect a scarcity premium.
“Fractal is India’s first listed pure-play AI company, positioned as a decision intelligence platform that combines AI services with incubated SaaS products. The sharp turnaround in profitability and exposure to the global GenAI cycle justify a premium, although the issue is best suited to high-risk investors with a long-term view,” the broker said, assigning a subscribe rating.
Ventura Securities also highlighted the company’s diversified revenue profile and improved profitability, while warning of execution risks inherent in fast-moving technology companies. “Fractal has built scale in enterprise AI with strong customer relationships and improved margins. However, dependence on large global customers, significant exposure to the US market and rapid changes in AI regulations remain key risks,” said Ventura, who recommends a subscription to investors with a medium to long-term horizon.
Objects of the problem
The funds raised from the new issuance will be used to repay or prepay loans from the US subsidiary, strengthen investments in research and development, and scale up sales and marketing efforts under the Fractal Alpha platform. A portion of the proceeds will also be used to set up new office facilities in India and explore inorganic growth opportunities through acquisitions or strategic investments.
The company has underscored its strategy to deepen engagement with must-win customers while accelerating product innovation, positioning these initiatives as key drivers of its future growth.
(Disclaimer: Recommendations, suggestions, views and opinions expressed by the experts are their own. These do not represent the views of the Economic Times.)
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