Yotta Data Services, an AI infrastructure provider backed by the Hiranandani Group, plans to file draft IPO papers with SEBI by October and aims to raise up to $1.5 billion through a fresh equity issue by March 2027, CEO Sunil Gupta told Reuters. The company intends to use the capital to repay debt, acquire GPUs, and expand its sovereign cloud infrastructure to meet growing local AI computing demand, according to inc42.com.
Founded in 2019 by Sunil Gupta and Darshan Hiranandani, Yotta initially offered colocation and integrated data center services. It has since evolved to become India’s largest NVIDIA-powered AI computing infrastructure provider. The company has raised $150 million from non-institutional investors at a $3.9 billion valuation. Currently, 20% of Yotta’s revenue comes from colocation, 25-30% from sovereign cloud and managed services, and about 50% from GPU sales. Yotta has shifted focus from Indian startups and institutions like IIT Bombay and IIT Madras to international customers, who now make up 75-80% of its clientele, inc42.com reported.
The planned IPO underscores the rising demand for AI infrastructure in India and globally, as companies seek specialized computing power to support AI workloads. Yotta’s pivot to international customers reflects a broader trend where Indian AI infrastructure firms target higher-value global markets. The $1.5 billion target would position Yotta among the largest AI infrastructure public offerings in the region, following the footsteps of firms like ESDS, another Indian AI data center provider that recently went public, according to inc42.com.
Yotta’s draft IPO filing with SEBI is expected in October, with the public offering targeted for the March quarter of fiscal year 2027. The company’s $3.9 billion valuation and $150 million pre-IPO funding round highlight investor confidence in its growth trajectory and the expanding AI infrastructure market in India and abroad, inc42.com stated.