Media reports suggest the health and fitness platform is targeting a Rs 3,500-4,000 crore public issue at an estimated valuation of around USD 2 billion
Health and fitness platform Cult.fit is set to file draft papers for its initial public offering (IPO) through the confidential route with the Securities and Exchange Board of India (Sebi) by the end of June, according to media reports. The company is reportedly looking to raise Rs 3,500 crore to Rs 4,000 crore at a valuation of about USD 2 billion, according to media report.
The confidential filing mechanism allows companies to submit their draft red herring prospectus (DRHP) to the market regulator without immediately disclosing financial performance, operational metrics and other business-sensitive information. The route has become increasingly popular among new-age companies seeking flexibility over the timing of their public offerings amid fluctuating market conditions.
Focus On Core Businesses
Founded in 2016 by Mukesh Bansal and Ankit Nagori, Cult.fit started as a fitness-centre chain offering technology-led health and wellness services. The company later expanded into digital fitness, at-home workout programmes and sportswear.
Ahead of its planned market debut, the company has sharpened its focus on its core fitness, sports and wellness businesses while working to strengthen its financial position.
According to regulatory filings, Cult.fit reported operating revenue of Rs 927 crore in FY24, compared with Rs 694 crore in FY23, reflecting growth of nearly 34 per cent year-on-year.
Startup Ecosystem Link
Cult.fit’s listing plans come as several consumer internet and technology-led companies evaluate public-market opportunities.
Nagori stepped away from the company’s day-to-day operations in 2021 following the separation of Eat.fit, the food and nutrition business that was later spun off into a standalone entity.
He subsequently founded Curefoods, which owns brands including EatFit, CakeZone and Nomad Food Project. The company had received approval from Sebi for its proposed Rs 800-crore IPO but has reportedly deferred its listing plans amid volatile equity-market conditions.
