Mumbai: Cult.fit Ltd
(previously Curefit Healthcare Pvt Ltd), India's largest fitness services
provider, has filed its Draft Red Herring Prospectus (DRHP) with SEBI for an
Initial Public Offering (IPO).
The Company is
India’s largest fitness and active lifestyle platform by the number of fitness
centers in its network as of March 31, 2026, according to the Redseer Report.
It offers fitness services and active lifestyle products through an integrated
platform comprising the cult.Fit app, cult.Fit website, and other online and
offline channels. According to the Redseer Report, the Company is also the only
fitness and active lifestyle platform in India with a presence across both
fitness services and fitness products as of March 31, 2026. The Company aims to
be the preferred destination for individuals seeking a fit and active
lifestyle.
The offer comprises a
fresh issue of equity shares aggregating up to ₹ 950 crore and an offer for sale
aggregating up to 17,86,09,200 equity shares by the selling shareholders. The
face value of each equity share is ₹ 1.
The company proposes
to utilize the net proceeds towards:
·
Repayment/prepayment,
in full or in part, of certain borrowings availed of by the Company;
·
Capital
expenditure towards setting up new Cult Elite and Cult Neo centres
(collectively, “Cult Centres”);
·
Investment
in its subsidiary, Cultsport Private Limited, for capital expenditure towards
setting up new Exclusive Brand Outlets (“EBOs”);
·
Expenditure
towards lease/rent/licence agreement-related payments for existing identified
centres operated by the Company;
·
Brand
marketing, advertising and business promotion to enhance brand awareness; and
·
General
corporate purposes.
The Company is the
largest fitness and active lifestyle platform in India as of March 31, 2026,
with 708 fitness centers spread across 77 cities in India, which was four times
the scale of the next largest player, according to the Redseer Report, and in fiscal
year 2026 had a transacting base of 987,020 paid members for its fitness
services business and over 4.23 million products shipped in the fitness
products business.
The business benefits
from a diversified revenue profile, with fitness services contributing roughly
70% of revenues and the fitness products business accounting for the remaining
30%, providing a balanced mix of recurring and transactional income streams.
The
Company has demonstrated a trajectory of growth with improving profitability.
Its revenue from operations increased from ₹9,266.62 million in fiscal year
2024 to ₹17,206.06. million in fiscal year 2026, representing a growth with
year-on-year increase of 36.26% in fiscal year 2026 compared to a year-on-year
increase of 31.17% in fiscal year 2025. Adjusted EBITDA Margins strengthened
from
-2.76%
in fiscal year 2025 to 8.41% in fiscal year 2026.
Cult Elite is a
hybrid fitness centre format offering equipment-based gym workouts alongside
trainer-led group classes across multiple formats, including strength, yoga,
dance and boxing, while Cult Neo is a pro-segment gym format offering a
standardized fitness experience with in-house designed equipment, superior
ambience and certified staff. Exclusive Brand Outlets (EBOs) are
company-operated retail stores dedicated exclusively to the sale of
Cult-branded fitness products.
The Company’s core
belief is that great products build great brands. As per the Redseer Report,
fitness and active lifestyle brands experience a high level of reluctance from
new users to engage, and a strong brand with products that deliver on commitment
is critical to build trust and shape customer behavior. Over the last 10 years,
through extensive user engagement across its fitness services and fitness
products, the Company has built a brand that embodies fun, community, and an
aspirational yet accessible approach to fitness.
Technology is the
core pillar that powers the company's integrated platform. It deploys
technology across all aspects of its operations from personalized workout
recommendations and AI-driven decisioning to standardized service delivery,
capacity optimization, and operational efficiency at scale, enabling it to
deliver a consistent, good-quality fitness experience across its wide network
of fitness centers and through its digital offerings.
In its apparel
category, the company operates in the mass-premium segment and offers
performance and athleisure products with dedicated ranges for running,
training, yoga, combat-based fitness formats, and others. In its footwear
category, it similarly operates in the value and mass-premium segment and
offers performance-oriented and comfort-led products for use cases such as
running, training and more. In its equipment category, the company offers
fitness equipment for use both at home and at commercial gym fitness centres,
as well as recovery products, fitness accessories, and cycles.
The fitness services
market in India is estimated at approximately ₹256 billion (approximately
US$2.9 billion) in CY2025 and is expected to grow to ₹487-531 billion
(US$5.6-6.1 billion) by CY2030, representing a CAGR of 14-16%, driven by rising
urban disposable incomes, increasing health consciousness and improved
affordability and accessibility through scale-led fitness platforms. According
to the Redseer Report, a fit and active lifestyle is essential for overall
well-being, and enabling this requires access to quality fitness centres where
people can work out, along with quality, affordable products that support users
across their fitness journey.
The Equity Shares to be offered through the Red Herring Prospectus are
proposed to be listed on the Stock Exchanges, being BSE and NSE.
Axis Capital Limited,
Goldman Sachs (India) Securities Private Limited, Jefferies India Private
Limited, JM Financial Limited and Morgan Stanley India Company Private Limited are
the book running lead managers (BRLMs) to the issue.