Fractal becomes unicorn after a $360 Mn round from TPG

Fractal, a provider of artificial intelligence and analytics solutions, has raised $360 million in a new round from TPG Capital Asia in a transaction that includes a combination of primary investment and secondary share purchase from Funds advised by Apax Partners.

According to the company, the transaction is expected to close by the first quarter of 2022 and the investment will accelerate its ability to scale and meet the rising demand globally.

While Fractal did not disclose its valuation after the current round, sources aware of the development estimate it at over $1 billion. The company has raised $685 million in funding so far.

Fractal is one of the most prominent players in the Artificial Intelligence space. The company’s flagship products include Qure.ai, Crux Intelligence, Theremin.ai, Eugenie.ai and Samya.ai.

The company has offices in Mumbai and New York and has more than 3,500 employees across 16 global locations, including the United States, UK, Ukraine, India, Singapore, and Australia. 

As per a Bloomberg report, Fractal is expecting to close the ongoing fiscal year i.e. FY22 with $160 m in revenue and the company is also gearing up for its IPO.

Founded by Srikanth Velamakanni and Pranay Agrawal, Fractal’s customers include Google, Reckitt Benckiser Group Plc and Wells Fargo & Co.

After MuSigma, Fractal has become the second Indian origin startup to become a unicorn in the analytics segment. Fractal has also become the second unicorn of 2021. Last week, baby and mother care brand Mamaearth had entered the coveted club following a $52 million round.