Latest news with #CapillaryTechnologies
Entrepreneur
10 hours ago
- Business
- Entrepreneur
Capillary Technologies Files for IPO with SEBI, Plans to Raise USD 50 Mn
The filing was submitted on Thursday, marking a major step in the company's renewed effort to go public after postponing plans in 2021 due to poor market conditions. You're reading Entrepreneur India, an international franchise of Entrepreneur Media. Bengaluru-based SaaS firm Capillary Technologies has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO). The filing was submitted on Thursday, marking a major step in the company's renewed effort to go public after postponing plans in 2021 due to poor market conditions. The IPO will include a fresh issue of shares worth USD 50 million (approximately INR 430 crore) and an offer for sale (OFS) of 1.83 crore equity shares. The company's promoter, Capillary Technologies International Pte Ltd, will sell around 1.43 crore shares, which is nearly 77.6% of the OFS. Other participants in the OFS include institutional investors Ronal Holdings, Trudy Holdings, and Filter Capital, along with individual shareholders such as Sripathi Venkata Ramana Reddy, Harminder Sahni, Adarsh Reddy, Sudhakar Reddy, Sripathi Damodar Reddy, and Manjunath Nanjaiah. As per the DRHP, Capillary Technologies International Pte Ltd holds a 65.47% stake in the company. Other major shareholders include Ronal Holdings with 7.53%, AVP Fund (Avataar Ventures) with 5.51%, Trudy Holdings at 4.49%, and Filter Capital India at 3.66%. The company plans to use the IPO proceeds to enhance its cloud infrastructure and invest in product research and development. About INR 120 crore will go towards cloud infrastructure, INR 151.5 crore towards R&D, and INR 10.3 crore for purchasing computer systems. A part of the funds will also be used for potential acquisitions and general corporate purposes. JM Financial, IIFL Capital, and Nomura Financial Advisory have been appointed as the book-running lead managers for the issue. Capillary Technologies recently reported a 14% increase in operational revenue, reaching INR 598 crore in FY24. It also turned profitable in FY25, posting a net profit of INR 13.3 crore, compared to a INR 59.4 crore loss the previous year.
Economic Times
18 hours ago
- Business
- Economic Times
Qcomm's worker woes; Capillary's IPO moves
Happy Friday! Quick commerce platforms are facing challenges in hiring and retaining delivery partners. This and more in today's ETtech Morning Dispatch. Also in the letter: ■ Foxconn expands in India ■ Krutrim exits, layoffs■ Groww expands offerings Quick commerce players running out of delivery riders as demand shoots up India's booming quick commerce sector is facing a key operational hurdle: hiring and retaining delivery partners. As demand for rapid deliveries surges, incumbents are scaling up and new players are joining the race. But recruitment has struggled to keep pace with growth. Tell me more: Recruitment platform Vahan, which works with leading gig economy firms, confirms the pressure. Hiring is getting harder as 'manpower availability is not rising in proportion to demand.' Dark store managers echoed the concern. Several said they need more riders, with daily orders nearing 1,500. Quote, unquote: 'Bikers are getting more demanding for all of us. It's becoming tough to hire and retain. These aren't good signs. It's reasonably acute, though not unmanageable yet,' said an executive at a quick commerce firm. Ground reality ET spoke to delivery partners in Bengaluru and New Delhi, most of whom said that falling per-order payouts are making the job unsustainable. A Flipkart Minutes rider said promised referral bonuses aren't being honoured, pushing many to switch platforms for better pay. Harsh weather conditions are adding to the strain on operations. Also Read: Quick commerce fires up record discounts with rivals getting quicker Loyalty tech firm Capillary Tech files draft IPO papers; eyes Rs 430 crore via fresh issue Aneesh Reddy, founder, Capillary Technologies Customer engagement and loyalty tech provider Capillary Technologies India has filed its draft red herring prospectus (DRHP) with Sebi for an initial public offering (IPO), joining a growing list of new-age companies eyeing the public markets. IPO details: Fresh issue: Rs 430 crore. Rs 430 crore. Offer for sale: 18.3 million shares. 18.3 million shares. Promoter Capillary Technologies Pte, backed by Peak XV Partners and Avataar Venture Partners, will offload 14.2 million shares. JM Financial, IIFL Capital, and Nomura are book-running lead managers. Second attempt: The company initially filed its DRHP in December 2021, but the proposal did not receive Sebi's nod. ET had first reported in November that Capillary Technologies was reviving its IPO plans and was aiming to file this year. Objectives: Capillary Technologies will use the proceeds from the fresh issue to: Cover its cloud infrastructure costs. Invest in product and platform R&D. Fund inorganic growth through acquisitions. The funds will be deployed between fiscal years 2026 and 2028. Foxconn plans to make iPhone enclosures in India Apple's largest supplier, Foxconn, is setting up a unit in Oragadam, Tamil Nadu, to manufacture iPhone enclosures, as ET first reported on September 25 last year. The move is part of the Taiwanese contract manufacturer's broader efforts to expand and diversify its operations in India. Foxconn India footprint: iPhone assembly unit at Sriperumbudur, Tamil Nadu. New facility in Devanahalli, near Bengaluru. New AirPods assembly unit in Hyderabad. Progress so far: Construction has commenced at the ESR Industrial Park in Oragadam, close to Foxconn's upcoming display module facility, according to one person aware of the developments. Quote, unquote: "This gives Apple more leverage and also provides Foxconn with ease of integration and boosts value addition," said Neil Shah, vice president, Counterpoint Research. "This improves supply chain effectiveness for Foxconn as well as Apple." Tariff troubles: Apple is keen to move iPhone production to India to avoid potential US tariffs on Chinese-made devices. However, US President Donald Trump has threatened a 25% duty on devices made overseas. Despite this, Foxconn is pressing ahead with its expansion plans for India. Applied Materials says Bengaluru chipmaking centre to rake in $2 billion Suraj Rengarajan, head of semiconductor products group, Applied Materials India American chip equipment manufacturer Applied Materials plans to establish a chip manufacturing centre in Bengaluru for $400 million over four years, Suraj Rengarajan, managing director at Applied Materials India, told ET. The company expects the plant to attract investments up to $2 billion in the future. Other Top Stories By Our Reporters Bhavish Aggarwal, founder, Krutrim Fresh exits at Krutrim: Three senior executives heading engineering and AI product execution at Bhavish Aggarwal's Krutrim have left, as the company laid off over a dozen people from their linguist teams across multiple languages early this week, sources familiar with the matter told us. Groww to apply for corporate bond trading licence: Stockbroker Groww is planning to seek Sebi's approval to offer trading in corporate bonds through its mobile application, according to two people in the know. AI, automation, geopolitics in focus at TCS AGM: Tata Consultancy Services (TCS) will focus on four strategic pillars: establishing a large pool of AI agents to work alongside the human workforce, delivering solutions for a human-plus-AI model, investing in AI data centres, and partnerships, said director Keki Mistry during the company's 30th annual general meeting (AGM). Insurtech firm Renewbuy bags $10 million: Insurance broking startup Renewbuy has secured $10 million (approximately Rs 86 crore) in a funding round from its existing investors, London-based Apis Partners and 360 One (previously IIFL Wealth). Global Picks We Are Reading ■ How much energy does AI use? The people who know aren't saying (Wired) ■ Samsung is desperate to compete on chips. Workers say it comes at a cost. (Rest of World) ■ I tried the future of smart glasses at WWDC. They weren't made by Apple (CNET) Updated On Jun 20, 2025, 07:27 AM IST
Economic Times
a day ago
- Business
- Economic Times
Capillary Technologies files IPO papers; aims to raise Rs 430 crore via fresh issue
ETtech Aneesh Reddy founder and MD Capillary Technologies Customer engagement and loyalty tech provider Capillary Technologies India Ltd has filed its draft red herring prospectus (DRHP) with Sebi for a public listing. The IPO will comprise a fresh issue of equity shares aggregating up to Rs 430 crore and an offer-for-sale (OFS) of up to 18.3 million shares by existing shareholders. This is Capillary Technologies' second attempt at going public after it shelved its initial plans in 2021. The company's Singapore-based promoter entity Capillary Technologies Pte, in which investors such as Peak XV Partners and Avataar Venture Partners, hold a stake, is selling 14.2 million shares in the OFS component. JM Financial, IIFL Capital, and Nomura are acting as the book-running lead managers to the issue. The company intends to use proceeds from the fresh issue to fund its cloud infrastructure cost, while also investing in research, design and development of its products and platform. ET had first reported in November that Capillary Technologies was reviving its IPO plans and was aiming to file this year.
Mint
12-06-2025
- Business
- Mint
Capillary Tech set to file IPO documents by October; Warburg, others to trim stake via listing planned this fiscal
Capillary Technologies, a company specialising in loyalty management and customer engagement software, is likely to file a draft prospectus by October and go public this fiscal, two people aware of the plan told Mint. This would be its second attempt at listing. The company's board approved an initial public offering of ₹2,250 crore, of which ₹500 crore is a fresh issue of shares and ₹1,750 crore is an offer for sale by existing investors, according to a filing with the ministry of corporate affairs earlier this month. Investors such as Warburg Pincus and Avataar Ventures will sell a part of their stakes in the IPO to reach minimum public shareholding norms, the people added. Warburg Pincus first invested in Capillary in 2018 in a $20 million round, alongside Sequoia Capital. Avataar joined the cap table in 2023 in an equity and debt round that totalled $140 million. Also Read | Top secret: IPO-bound startups may opt for confidential filings to keep options open, sensitive information under wraps "The company is on track to list this year. It is likely to be valued at $1.2-1.3 billion. All investors are bullish on the growth of the company but will sell to meet the minimum public holding requirements," one person told Mint, requesting anonymity. This is Capillary Technologies' second attempt at a public listing. It joins startups including Navi and Droom that had initially pursued IPOs during the 2021 boom but are now making a renewed push to go public this year. The company first filed a draft red herring prospectus in December 2021 for a fresh issue of equity shares worth ₹200 crore and an offer for sale of ₹650 crore, totaling ₹850 crore. However, the company did not proceed with the listing at the time. Queries sent to Capillary Technologies, Warburg Pincus, and Avataar Ventures did not elicit a response at the time of publishing the story. Brand loyalty Founded in 2012 by Aneesh Reddy, Ajay Modani, and Krishna Mehra, Bengaluru-based Capillary Technologies helps businesses across various industries to improve customer engagement, drive sales, and build brand loyalty through their AI-powered platform. Also Read | Market meltdown may cut startup IPOs and valuations down to size It has a presence across the US, India, the Middle East, and Asia – in particular, Southeast Asia. The company reported revenue of about ₹600 crore in FY24, up 80%, while its net loss narrowed to ₹59 crore. In May, the company acquired assets from bankrupt Canadian firm Kognitiv in a bid to expand its North American presence and gain access to over 30 enterprise clients.
Forbes
03-06-2025
- Business
- Forbes
Capillary And Forrester Execs Foreshadow Future Of Loyalty Marketing
Loyalty marketing is going through a transformation in an era where consumer attention is scarce and brand trust is everything. Jim Sturm, President, North America at Capillary Technologies, believes we're standing at the threshold of a new kind of relationship between brands and consumers—one defined less by transactional rewards and more by emotional engagement and data-driven personalization. According to Forrester's 2024 retail survey, 77% of U.S. online adults agree that they like to engage with loyalty programs even when they're not purchasing. Modern loyalty programs capitalize on this golden opportunity to engage customers beyond the transaction with a diversified set of interactions that are personalized to the member's interests and complement the program's core financial benefits. 'Consumer interest in experiences and live events is rising with trusted brands having permission to help consumers experience more by leveraging loyalty rewards to take in a concert, go see their favorite college or pro sports team and using some of their accrued loyalty perks to pay for that experience,' noted Adam Rossbach, President of TFL. Thai rapper and singer Lisa, from South Korean group Blackpink, performs during the Global Citizen ... More Festival at Central Park in New York City on September 28, 2024. (Photo by Charly TRIBALLEAU / AFP) (Photo by CHARLY TRIBALLEAU/AFP via Getty Images) Capillary Technologies, which recently acquired Kognitiv, continues its strategic ascent toward becoming 'the global leader in consumer experience, loyalty technology and consulting,' says Sturm. 'Our plan was to grow through acquisitions and direct sales. This is our fourth acquisition, and we couldn't be more proud.' The evolution of loyalty programs is stark when framed through Sturm's lens. 'The loyalty industry grew up with things like S&H Green Stamps—my mom would shop, come home with stamps, and I'd paste them in a book. Fill it up, and you'd get a free item,' he recalls with a smile. 'Then airlines and hotels introduced points and tiers. But today, loyalty is about much more than that. It's experiential.' He cites Amazon Prime as a standout example. 'It's a form of a loyalty program. You subscribe not because of points, but because you love the benefits and the experience.' Experiential loyalty, according to Sturm, has become the hallmark of successful programs. 'It's not about 'buy 9, get the 10th free' anymore. It's about whether a brand knows you—your preferences, your behaviors—and can engage you in a way that feels uniquely relevant.' Modern loyalty programs offer a unique opportunity to create personalized and exclusive brand experiences that motivate members to move up the status ladder. In Forrester's most recent Consumer Benchmark Survey, 54% of U.S. online adults who belong to loyalty programs agree that getting special treatment is important to them; 63% say the same about getting special offers that are not available to other customers. How do you replicate the intimacy of the neighborhood butcher—who knew your mom's favorite cut of meat—at enterprise scale? Sturm has a clear answer: 'Knowledge today comes from data.' Capillary's platform uses artificial intelligence and machine learning to personalize engagement. 'If I know Jeff loves the color blue and shops certain designer brands, I can tailor that experience. That's emotional loyalty—when you touch the heart, not just the wallet.' This isn't just theory. Sturm underscores how emotional loyalty leads to more spending and deeper brand love. 'You can incentivize a purchase with a discount, but that's not loyalty—that's a transaction. Real loyalty is when the consumer feels a connection so strong, they keep coming back.' Trust is the currency of modern loyalty programs, especially with younger consumers. 'Younger generations are more willing to share information,' says Sturm. 'But only if they believe the brand will use it to enhance their experience.' He echoes findings from my own Gen Z research: 'If I tell you my preferences, and you use that to deliver real value—yes, I'll share. But if I see abuse or irrelevance, I'll shut it down.' Sturm distills decades of experience into four rules for CMOs and strategists building loyalty ecosystems: Live events offer brands a chance to deliver unforgettable experiences—'the reward side of loyalty,' as Sturm puts it. 'Major credit cards and airlines now offer once-in-a-lifetime event access. It works when it's personalized and relevant.' That's where partnerships like those being explored with Tickets For Less come in. 'Earn-and-burn strategies that include live events? That's different. And it matters,' says Sturm. 'The right events for the right persona can create magic.' As AI reshapes marketing, Sturm remains clear-eyed. 'It's not about the tech, it's about trust. And it's about ensuring your AI is accurate, your data is ethical, and your brand is human at scale.' In closing, Sturm reflects, 'I've been in this business a long time, but I stay because of the impact we can make—helping consumers have better experiences and helping brands build lasting relationships.' That, after all, is the heart of loyalty.
