Capillary Technologies India Limited, a company that offers artificial intelligence (“AI”)-based cloud-native Software-as-a-Service (“SaaS”) products and solutions primarily to the enterprise customers to develop loyalty of their consumers and channel partners refiled its draft red herring prospectus (DRHP) to raise funds for its initial public offering (IPO).
The initial public offering (IPO) with a face value of Rs 2 per equity share consists of a fresh issue of equity shares aggregating to Rs 430 crore, and an offer for sale of 1,83,31,386 equity shares by existing shareholders.
Offer for sale consists of shareholders selling up 1,42,11,104 equity shares by Capillary Technologies International Pte. Ltd, up to 14,66,583 equity shares by Ronal Holdings LLC, up to 18,33,228 equity shares by Trudy Holdings, up to 7,59,938 equity shares by Filter Capital India Fund I, up to 10,800 equity shares by Sripathi Venkata Ramana Reddy, up to 24,349 equity shares by Harminder Sahni, up to 10,000 equity shares by Adarsh Reddy B, up to 8,384 equity shares by Sudhakar Reddy Katanguri, up to 3,000 equity shares by Sripathi Damodar Reddy, up to 4,000 equity shares by Manjunath Nanjaiah.
Additionally, the company, in consultation with the lead bankers to the issue may consider a pre-IPO placement of further issue of equity shares including a private placement, rights issue, preferential offer or any other method of specified securities aggregating up to Rs 86 crore. If such placement is completed, the fresh issue size will be reduced.
The proceeds from its fresh issuance worth Rs 120 crore will be utilised for funding its cloud infrastructure cost; Rs 151.54 crore for investment in research, designing and development of its products and platform; Rs 10.32 crore for investment in purchase of computer systems for its business; funding inorganic growth through unidentified acquisitions and general corporate purposes.
Capillary Technologies India is a software product company offering artificial intelligence (“AI”)-based cloud-native Software-as-a-Service (“SaaS”) products and solutions primarily to Enterprise Customers. It is recognized as the global market leader in loyalty and engagement management in terms of number of product offerings in Fiscal 2025, according to a Zinnov Report mentioned in the DRHP.
The Bengaluru-based company is among one of the few players in the loyalty management space that offer end-to-end loyalty solutions, which includes its advanced loyalty management platform (Loyalty+), connected engagement platform (Engage+), predictive analytics platform (Insights+), rewards management platform (Rewards+) and customer data platform (“CDP”) for its customers.
Headquartered in India, Capillary has a significant global footprint with offices in locations across the United States, United Kingdom, United Arab Emirates and other Asian countries, it supports over 390 brands in more than 45 countries, as of March 31, 2025.
The company’s customers and brands are diversified across verticals and include conglomerates and businesses engaged in retail, consumer packaged goods (“CPG”), healthcare, apparel, departmental stores, luxury and lifestyle, travel, auto and hospitality, and energy retail verticals. It has also been diversifying the industry verticals that it caters to and has added customers in the energy retail, CPG, healthcare and banking, financial services, and insurance (“BFSI”) and telecommunications verticals.
Capillary engages with 16 Global Fortune 500 companies and some of its marquee customers include Aditya Birla Fashion and Retail Limited (“ABFRL”), Abbott Laboratories (Singapore) Private Limited (“Abbott”), Tata Digital Private Limited (“Tata Digital”), Frontier Communications and a global technology solutions provider, a global energy and petrochemicals major, one of UAE’s diversified conglomerates and a large European bank, offering financial services focused on supporting personal and business growth.
As of March 31, 2025, Capillary had 13 offices including in key markets of India, United States, United Kingdom, United Arab Emirates, Singapore, Indonesia, Vietnam and Malaysia, and provided services in 46 countries.
Capillary Technologies’ revenue from operations increased by 13.93% from ₹ 525.10 crore in Fiscal 2024 to ₹ 598.26 crore in Fiscal 2025 primarily on account of an increase in retainership and other services. The company has turned profitable in the fiscal 2025 to Rs 13.28 crore against a loss of Rs 59.38 crore in fiscal 2024.
JM Financial Limited, IIFL Capital Services Limited, and Nomura Financial Advisory and Securities (India) Private Limited are the book running lead managers and MUFG Intime India Private Limited is the registrar of the issue. The equity shares are proposed to be listed on the National Stock Exchange of India Limited and BSE Limited.
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