Capillary Technologies Taps Capital Markets: IPO to Raise Rs 2,250 Cr Amid SaaS Surge

Market Pulse Bengaluru-headquartered SaaS firm Capillary Technologies, which is renowned for enabling customer and loyalty engagement platforms, is stepping into the public markets with great boldness. Having shelved its earlier IPO plans in 2021, the firm has now revived its listing dreams with a Rs 2,250 crore offer. 

Strategic Breakdown

JM Financial, IIFL Capital, and Nomura have been appointed as book running lead managers for the offer.

The IPO would comprise a fresh issue of equity shares aggregating approximately Rs 500 crore and an offer for sale (OFS) of shares worth up to Rs 1,750 crore.

Up to 18.3 million shares of present shareholders are being sold through the OFS route.

Financial Snapshot

Capillary has clocked Rs 600 crore in revenue in FY24, 80 percent year-over-year growth record.

Net losses reduced to Rs 59 crore, indicating improved operating efficiency.

The company has raised over 200 million dollars from marquee investors such as Warburg Pincus, Peak XV Partners, and Qualcomm Ventures.

Sector Context

The IPO is a part of a broader trend of technology listing in India, with rivals Groww, Zepto, and Lenskart also eyeing listing on the bourses.

Capillary's client roster includes Tata Group, Shell, Domino's, and IndiGo, pointing to its enterprise-grade SaaS profile.

Outlook With strong investor appetite for digital-first companies and a robust client base, Capillary's listing can be viewed as an augur of SaaS listings in 2025.

Sources: Moneycontrol, Inc42, CNBC-TV18