Bengaluru-based CloudThat, an enterprise cloud trainer and consultant, is preparing to raise approximately $8 million through an initial public offering (IPO) in GIFT City. According to reports from Mint, the company is expected to file its draft red herring prospectus (DRHP) over the next few months. The planned issue comes after XED, which was set to become the first company to list on the GIFT City exchanges, withdrew its $12 million IPO due to weak investor participation during the Israel-Iran conflict. Currently, there are no companies listed on the GIFT City exchanges.
CloudThat reported strong financial growth with revenue of ₹120 crore in FY25, up from ₹76 crore in FY24. As reported by Mint, the company achieved a profit after tax (PAT) of ₹9.6 crore in FY25, compared to ₹2.87 crore in FY24. For FY26, the company made provisional revenue of ₹210 crore. The company derives the majority of its revenue—almost 90%—from India, with the remainder from other geographies. CloudThat provides cloud services to major technology companies including Microsoft, Amazon, and Google.
According to founder Bhavesh Goswami as reported by Mint, CloudThat plans to use the IPO proceeds to fund acquisitions, expand its international presence through new hires and office space, and grow its cloud consulting and training business. The company plans to raise capital on GIFT City exchanges in dollars to easily fund its expansion into international markets, with plans to list on Indian exchanges later. Global Horizons Capital Advisors serves as the lead book running manager for the issue.
As reported by Mint, the dual-listing framework that would allow companies to list on both Indian exchanges like NSE and BSE and GIFT City exchanges like NSE IX and India INX is not yet operational. Apurva Kanvinde, partner at Juris Corp, explained that the framework is not yet operational due to significant complexities in integrating the two markets, which operate under different regulatory and currency frameworks. In India, IPOs are rupee-denominated, while in GIFT City exchanges, IPOs are dollar-denominated. The key challenge involves aligning depositories to facilitate smooth functioning and resolving issues related to minimum public shareholding and promoters' contribution.
According to V. Balasubramanium, MD and CEO of NSE IX, as reported by Moneycontrol, the objective is to create an additional fundraising avenue for companies looking to tap international pools of capital rather than divert liquidity away from domestic markets. CloudThat plans to wait for its India listing until the dual-listing framework is released, so it can list on Indian exchanges and raise money in rupees as well. The dual listing framework is present in many global jurisdictions including the US, Canada, Hong Kong, China, and New Zealand, providing access to diverse investor bases and improved liquidity.
