Capillary Technologies Gets SEBI Nod For IPO

SUMMARY

As per the latest update on SEBI website, the regulator issued observations to the company on September 22

Capillary’s public issue will comprise a fresh issue of up to INR 430 Cr and an offer for sale (OFS) of up to 18.3 Mn shares

The company filed its DRHP in June, a couple of weeks after it received its board’s nod for an IPO comprising a fresh issue of INR 500 Cr and an OFS component of INR 1,750 Cr

SaaS company Capillary Technologies has received the approval from SEBI to proceed with its IPO.

As per the latest update on SEBI website, the regulator issued observations to the company on September 22. In SEBI’s parlance, issuance of observations is a green light to proceed with the public offer.

Capillary’s public issue will comprise a fresh issue of up to INR 430 Cr and an offer for sale (OFS) of up to 18.3 Mn shares. Ronal Holdings, Trudy Holdings, Filter Capital India, Sripathi Venkata Ramana Reddy, Harminder Sahni, Adarsh Reddy B, Sudhakar Reddy Katanguri, Sripathi Damodar Reddy and Manjunath Nanjaiah are the investors who will be offloading their shares via the OFS.

The company plans to use the capital raised from the fresh issue to build its cloud infrastructure, invest in research, design and development of its products and platform, purchase computer systems, and for acquisitions and general corporate purposes.

Capillary filed its DRHP in June, a couple of weeks after it received its board’s nod for an IPO comprising a fresh issue of INR 500 Cr and an OFS component of INR 1,750 Cr.

Founded in 2008 by Aneesh Reddy, Capillary provides loyalty management and customer engagement solutions to its customers. It helps businesses across various industries improve customer engagement, drive sales and build brand loyalty through their AI-powered platform.

It counts the likes of Tata Digital, Domino’s, Aditya Birla Fashion & Retail, Arvind Fashion, among its over 390 clients.

On the financial front, Capillary posted a profit of INR 13.3 Cr in FY25 as against a loss of INR 59.4 Cr in the previous fiscal year. The company’s operating revenue stood at INR 598.3 Cr, marking a 14% jump from INR 525.1 Cr in FY24.

The go ahead for the IPO comes at a time when seven new-age tech companies have made their public market debuts so far this year, while Zappfresh is set to become the eighth company to list on the exchanges.

Besides, new-age tech companies like Pine Labs, boAt, and PhysicsWallah have also received the nod from the regulator for their IPOs.