Cult.fit, the Bengaluru-based fitness services and active lifestyle platform, has received final observations from the Securities and Exchange Board of India (SEBI) on its offer documents, according to reports published on October 16, 2026. In SEBI practice, the step means the regulator has cleared the company to proceed with its public issue, and its processing status shows the observation was recorded on October 12.
The company had filed its draft red herring prospectus in July 2026, so the clearance came about three months later. The proposed IPO includes a fresh issue of up to Rs 950 crore alongside a large offer for sale by existing shareholders.
Offer Structure and Selling Investors
The offer has two parts. A fresh issue of equity shares worth up to Rs 950 crore is planned, along with an offer for sale of up to 17.86 crore shares, or 178.6 million shares, by existing investors and individual shareholders. According to The Economic Times, the total offer size could be Rs 3,500 crore to Rs 4,000 crore, depending on the price band, which the company has not yet announced. A pre-IPO placement of up to Rs 190 crore may also reduce the fresh issue by that amount. The shares are proposed to be listed on the BSE and the National Stock Exchange.
Chiratae Ventures, through IDG Ventures India Fund III and Chiratae Trust, will sell up to 2.81 crore shares, and Temasek, through MacRitchie Investments, up to 2.47 crore. Fitness First could sell up to 1.96 crore shares, cofounder Mukesh Bansal up to 1.60 crore and Tata Digital up to 1.59 crore. Actor Hrithik Roshan, an early investor, will sell 6.33 lakh of his 19.01 lakh shares, a 0.20 percent stake.
Where the Fresh Issue Money Goes
The company’s draft papers earmark Rs 276.6 crore of the fresh issue for setting up new Cult Elite and Cult Neo fitness centres. Rs 217.5 crore will go towards lease, rent and licence payments on identified existing centres, and Rs 120 crore to repay or prepay certain borrowings. The remaining proceeds will fund new exclusive brand outlets through the subsidiary Cultsport, brand marketing and promotion, and general corporate purposes.
Centres, Members and Sportswear Business
As of March 31, 2026, Cult.fit operated 708 fitness centres across 77 cities. Of these, 218 are owned and operated by the company, 288 are run by franchisees and 202 are independent partner gyms. The company had 987,020 paid members in FY26, and its fitness products business shipped more than 4.23 million products in the year. About 70 percent of revenue comes from fitness services and 30 percent from products such as apparel, footwear and equipment sold under Cultsport. Citing a Redseer report, the company says its network is four times the scale of the next largest player.
Read more: KL Rahul-Backed Boldfit Raises Over Rs 400 Crore in Series B Funding, as the fitness and activewear brand scales its retail and manufacturing push in the same market where Cultsport competes.
FY26 Financial Performance
Revenue from operations rose 41.5 percent to Rs 1,720.6 crore in FY26, from Rs 1,215.5 crore in FY25. Net loss narrowed to Rs 251.8 crore from Rs 480.8 crore, a fall of about 48 percent. Adjusted EBITDA margin turned positive at 8.41 percent in FY26, against minus 2.76 percent in FY25. Revenue stood at Rs 926.7 crore in FY24.
Founders, Backers and Next Steps
Cult.fit was founded in 2016 by Mukesh Bansal and Ankit Nagori. Naresh Krishnaswamy has been chief executive since April 2024, and Bansal is executive chairman. The company’s most recent round brought in $47 million (Rs 440 crore) from Temasek at Rs 483.62 a share, according to Registrar of Companies filings, and the company has raised over $700 million in total across its funding rounds. Axis Capital, Goldman Sachs (India) Securities, Jefferies India, JM Financial and Morgan Stanley India are the book running lead managers. The price band and issue dates are still to be announced, and the offer size and valuation will be set once they are.
