Cult.fit’s Upcoming IPO Management by Leading Banks

Fitness tech company Cult.fit has appointed various banks to oversee its forthcoming IPO, as reported by CNBC-TV18. The banks involved in this significant financial move include Axis Capital, Jefferies, Goldman Sachs, Morgan Stanley, and JM Financial.

The report highlights that Cult.fit aims to raise Rs 2,500 crore, equivalent to almost $300 million, through this IPO, leading to a valuation of approximately $2 billion.

So far, Cult.fit has successfully garnered over $670 million from a range of investors, which includes prominent names like Zomato, Tata Digital, Temasek, Kalaari Capital, and South Park Commons. Notably, in November 2021, Zomato made a substantial $100 million investment for a 6.4% stake in Cult.fit, valuing the company at $1.56 billion at that moment.

Founded by Mukesh Bansal, a co-founder of Myntra, alongside Ankit Nagori, Cult.fit operates more than 500 gyms across various cities in India. In addition to its gym facilities, the company manages Eat.fit, a healthy meal delivery service that accounts for 24.5% of its overall revenue.

Although Nagori has departed from Cult.fit to head its separated cloud kitchen division, Curefoods, Bansal assumed the role of executive chairman of the company last year. Furthermore, Cult.fit has elevated its co-founder Naresh Krishnaswamy to the position of chief executive officer.

According to multiple sources, Cult.fit experienced a significant 33.6% growth in its operating revenue, reaching Rs 927 crore in FY24, compared to Rs 694 crore in FY23. However, the company reported a consistent loss of Rs 535 crore in FY24, a slight increase from Rs 534 crore in FY23.