Fractal Analytics IPO to open on Feb 9: GMP up 6%; should you subscribe?

Fractal Analytics IPO comprises a fresh issue of 11.4 million shares worth up to ₹1,023.50 crore and an OFS of 20.1 million shares worth up to ₹1,810.40 crore

Fractal Analytics IPO: Fractal Analytics, a global enterprise AI and analytics firm, is set to float its maiden public issue on Monday, February 9, 2026. The company aims to raise ₹2,833.90 crore from the IPO, comprising a fresh issue of 11.4 million shares worth up to ₹1,023.50 crore and an offer for sale (OFS) of 20.1 million shares worth up to ₹1,810.40 crore.

 

Under the OFS, Quinag Bidco, TPG Fett Holdings, Satya Kumari Remala and Rao Venkateswara Remala, and GLM Family Trust are the selling shareholders. 

 

According to the red herring prospectus (RHP), the company has reserved at least 75 per cent of the issue for qualified institutional buyers (QIBs), not more than 10 per cent for retail investors and not more than 15 per cent for non-institutional investors (NIIs).

 

Fractal Analytics IPO GMP

On Friday, February 6, 2026, the unlisted shares of Fractal Analytics were trading at ₹957, up ₹57 or 6.33 per cent compared to the issue price of ₹900 per share, according to sources tracking unofficial markets.

Fractal Analytics IPO: Here's what the brokerages suggest

SBI Securities -  Neutral

According to analysts at SBI Securities, Fractal Analytics operates in a niche segment of Data Analytics and has a healthy presence across its four focus industries, with top MNCs as its clients and an average tenure of 8+ years across the top 10 clients. 

 

At the upper price band of ₹900, the issue is valued at a FY25 P/E multiple of 78.9x based on post-issue capital. This looks elevated given the relatively modest revenue growth at 18 per cent CAGR between FY23-25 and 20 per cent Y-o-Y growth in 1HFY26, the brokerage said in its note.

 

"Attrition rate for the company continues to be elevated (16.3 per cent in FY25/15.7 per cent in 1HFY26). Risks such as insourcing by clients, especially with the advent of AI tools, could lead to loss of clients and impact the company’s business model," the brokerage said. 

 

Citing the elevated valuation, SBI Securities has assigned a 'Neutral' rating to the issue and would like to track the performance of the company for a few quarters post listing. 

Swastika Securities - Subscribe

Analysts at Swastika Investmart said, the company has seen a sharp turnaround, moving from a ₹55 crore loss in FY24 to a ₹221 crore profit in FY25 on the back of 26 per cent revenue growth.

 

"At the upper band of ₹900, valuations look expensive at 79x (post) FY25 P/E, but this reflects a scarcity premium for a listed AI platform," the brokerage said. 

 

The brokerage said Fractal Analytics IPO is best suited for high-risk, growth-focused investors with a 3–5 year view looking to ride the global GenAI cycle.

Here are the key details of the Fractal Analytics IPO:

The three-day subscription window to bid for the Fractal Analytics IPO will close on Wednesday, February 11, 2026. The allotment of shares is expected to be finalised on Thursday, February 12, 2026. The successful allottees will receive the company's shares in their respective demat accounts on Friday, February 13, 2026. 

 

Shares of Fractal Analytics will make their debut on the exchanges, NSE and BSE, tentatively on Monday, February 16. 

 

The company has set the price band in the range of ₹857 to ₹900, with a lot size of 16 shares. A retail investor would require a minimum investment of ₹14,400 to bid for at least one lot and in multiples thereafter.

 

MUFG Intime India is the registrar. Kotak Mahindra Capital Company, Axis Capital, Morgan Stanley India Company, and Goldman Sachs (India) Securities are the book-running lead managers.

 

As per the RHP, the company plans to utilise ₹264.9 crore for investment in its subsidiary, Fractal USA, for repayment for prepayment or repayment of debt. Additionally, ₹57.10 crore will be used for the purchase of laptops, ₹121.10 crore for new office premises in India, and ₹355.10 crore for investment in research and development, and sales and marketing under Fractal Alpha. The remaining funds will be used for funding organic growth through unidentified acquisitions and other strategic initiatives, and general corporate purposes.   Disclaimer: View and outlook shared belong to the respective brokerages/analysts and are not endorsed by Business Standard. Readers discretion is advised.