Cult.fit got SEBI clearance for its IPO, with a fresh issue worth ₹950 crore. This green light comes as the company continues to narrow significant losses while aggressively expanding its physical footprint. The move tests investor appetite for a hybrid brick-and-mortar health chain after a post-pandemic shift to digital fitness.
How We Got Here
Cult.fit filed its DRHP in July, getting SEBI's final observation on October 12, just three months later. The company reported narrowing its net loss to ₹251.8 crore in FY26, alongside ₹1,720.6 crore in operating revenue.
The Numbers
- Total IPO size is projected around ₹4,000 Cr, far above the ₹950 Cr fresh issue.
- Early investors Temasek (via MacRitchie Investments), Accel, and Tata Digital plan to offload shares via the OFS.
- Cult.fit operated 708 fitness centres across 77 cities with 9.87 lakh paid members as of March 31, 2026.
- The company narrowed its FY26 net loss to ₹251.8 Cr while posting ₹1,720.6 Cr in operating revenue.
What Happens Next
🇮🇳 Why This Matters for India
For fitness tech founders in Bangalore and Pune, Cult.fit's IPO will set a valuation benchmark for profitable scaling in a market balancing offline expansion and digital offerings.
The Take
The market consensus might focus on Cult.fit's rapid expansion, but the real story is whether a predominantly offline-heavy model can command a tech-like valuation post-COVID. Expect investors to scrutinise the unit economics of owned vs. franchised centres closely during roadshows.
Source:
Inc42 ↗