New Delhi, July 9, 2026: In a landmark move for India’s wellness and commercial fitness industry, Bengaluru-based health-tech platform Cult.fit has officially filed its Draft Red Herring Prospectus (DRHP) with the market regulator, the Securities and Exchange Board of India (SEBI). The highly anticipated Initial Public Offering (IPO) is structured to raise up to ₹950 crore through a fresh issue of equity shares, alongside a massive Offer for Sale (OFS) component of up to 17.86 crore equity shares from existing backers. Market insiders estimate that the total public issue size could scale between ₹3,500 crore and ₹4,000 crore, positioning Cult.fit as the first major modern fitness enterprise to hit the domestic bourses.
Among the high-profile names trimming their holdings is Bollywood superstar and fitness icon Hrithik Roshan, a long-time brand ambassador and early equity stakeholder in the company. According to the draft papers, the actor plans to liquidate a portion of his investment by selling 6,33,824 equity shares. The move represents a partial monetization strategy rather than a structural exit, highlighting a trend of celebrity-backed Indian startups transitioning into public assets.
Hrithik Roshan’s Strategic Partial Exit
Hrithik Roshan’s association with Cult.fit dates back several years to when the platform was aggressively scaling its physical and digital presence. Beyond being the face of the brand’s primary marketing campaigns, Roshan integrated his personal fitness philosophy and venture, HRX, into the ecosystem. The draft prospectus reveals that the actor currently commands 19.01 lakh equity shares, translating to a 0.20% stake in Cult.fit’s pre-offer equity share capital.
By placing 6.33 lakh shares into the Offer for Sale pool via his investment vehicle, Extreme Brands, Roshan will liquidate roughly a third of his holding while retaining the remaining 12.67 lakh shares. Because the company has not yet determined or announced its official IPO pricing band, the definitive monetary valuation of his stake sale remains unquantified. The capital raised from the OFS component will flow directly to the participating shareholders—including Roshan—and will not contribute to Cult.fit’s operational balance sheet.
Breakdown of the ₹4,000 Crore IPO Structure
The public market debut is organized as a hybrid offering designed to balance capital injection with institutional liquidity:
- Fresh Issue Component: The company will issue new shares worth up to ₹950 crore. Cult.fit has also noted it may explore a pre-IPO placement of up to ₹190 crore. If executed, this private round will proportionally reduce the final fresh issue capital targets.
- Offer for Sale (OFS) Component: Existing legacy institutional funds and individual promoters are looking to offload up to 17.86 crore shares.
The institutional selling roster features prominent venture capital entities and corporate partners. Singapore’s sovereign wealth fund Temasek, operating via MacRitchie Investments, is set to offload up to 2.47 crore shares. Chiratae Ventures (via IDG Ventures India Fund III and Chiratae Trust) represents the largest single selling block with up to 2.81 crore shares. Other key participants offloading equity include Fitness First Luxembourg (1.96 crore shares), Tata Digital (1.59 crore shares), Accel India, Schroders Capital, and Kalaari Capital. Notably, co-founder Mukesh Bansal will also sell up to 1.60 crore equity shares from his personal holding of 8.02 crore shares (an 8.35% stake).
Financial Health: Rising Revenues, Narrowing Losses
Cult.fit’s financial trajectories submitted in the DRHP present a narrative of aggressive top-line growth paired with improving operational efficiency. The company reported a 41.6% surge in operational revenues for the fiscal year ending March 31, 2026, climbing to ₹1,720.6 crore compared to ₹1,215.5 crore in FY25. This is nearly double the ₹927 crore generated in FY24.
Crucially, the company’s net losses have consistently shrunk over the past three fiscal periods, signaling a clearer path toward profitability.
The business turned adjusted EBITDA margin positive at 8.4% in FY26. Cult.fit’s business architecture relies heavily on its core fitness subscription models, which generate roughly 70% of total revenues. The remaining 30% is driven by Cultsport, its transactional product division handling sports apparel, footwear, and consumer fitness equipment, which shipped over four million units in FY26.
Utilization of Public Funds and Market Outlook
According to the DRHP filings, Cult.fit has earmarked the ₹950 crore in fresh capital for specific domestic expansion and debt optimization goals. The company plans to allocate ₹217.5 crore toward clearing lease and rental obligations for its sprawling physical footprint. Another ₹120 crore is designated for the prepayment or repayment of outstanding corporate borrowings, while ₹75 crore will fund aggressive brand marketing campaigns and promotional activities. The rest of the fresh capital will support general corporate expenses and investments into its subsidiary, Cultsport Pvt Ltd, for opening exclusive brick-and-mortar retail outlets.
As of mid-2026, Cult.fit manages a footprint of 708 fitness centers distributed across 77 Indian cities, catering to nearly 1 million active paid subscribers. The broader Indian fitness services market is projected by Redseer to reach between ₹48,700 crore and ₹53,100 crore by 2030, growing at an annual rate of 14% to 16%. This expansion is fueled by rising urban disposable incomes and a post-pandemic shift toward structured health management.
To reinforce investor confidence ahead of the public issue, Cult.fit recently overhauled its corporate governance by inducting four prominent independent directors to its board: veteran corporate banker Kalpana Morparia, former KPMG India Head Arun M. Kumar, former Ayushman Bharat CEO Indu Bhushan, and OpenAI India Public Policy Lead Pragya Misra. The company will list its shares on both the BSE and NSE once final clearance is issued by SEBI.