Capillary Technologies, a Software as a Service (SaaS) company based in Bengaluru, has been able to raise ₹393.7 crore through a group of anchor investors, indicating that major institutions have a lot of trust in the upcoming public offering of the company. This was an important fundraising exercise conducted in advance of the actual IPO, and was highly participated in by major domestic and international financial institutions. The successful distribution will create a favorable precedent for the next offering by the technology company that deals with cloud-based loyalty, Customer Relationship Management (CRM), and customer engagement solutions.

Substantial capital and prominent domestic mutual funds

This capital of ₹393.7 crore was raised by a total of 21 anchor investors. This distribution was planned at the higher end of the price range, and the amount raised through this group of people was maximized. These anchor investors were allocated precisely 68,28,001 equity shares by Capillary Technologies as per a regulatory filing made by the company.

The shares were firmly priced at ₹577 apiece. The allocation agreement to settle at the top-most point of the price range is a confirmation of the institutional pressure to acquire the equity of the company and the value of the company as determined by the management and the bookrunners. An anchor book methodology can be used to generate momentum, a necessary price point that sets the tone for the retail and non-institutional stages of the initial public offering of the shares.

The structure of the anchor book was indicative of much interest among the domestic mutual fund industry, which consumed the biggest portion of the equity reserved. Nine mutual funds, which are involved in thirteen different schemes, have a combined subscription of about 46.1 lakh shares. This amount represents almost 68% of the entire anchor amount, which indicates a strong vote of confidence by the best asset managers in India.

Major domestic mutual funds that took part in this essential financing round consisted of market giants like SBI Mutual Fund, ICICI Prudential Mutual Fund, Kotak Mutual Fund, Axis Mutual Fund, Aditya Birla Mutual Fund, and Edelweiss Mutual Fund. Their involvement is usually considered a significant support for the future development of the company.

Besides the diversity and strength of the anchor investor list, various other renowned global investors were also involved in the allocation. This worldwide support is an indication of the globalizability and applicability of the SaaS business model of Capillary Technologies. The whole IPO process, including the anchor book, is being done under a consortium of investment banks, with JM Financial, IIFL Capital, and Nomura taking part, and with MUFG Intime acting as an official registrar.

Some of the international funds that stamped a footprint included Amundi funds, Matthews India fund, and HSBC Global Investment funds- Asia Ex Japan Smaller Companies. Other significant players were PineBridge India Equity Fund, Hornbill Orchid, and Innoven Capital. The attention of this international generation speaks volumes about how attractive the company is outside of its domestic boundaries and its competitiveness in the global technological market.

Initial funding strategy and OFS component

Aneesh Reddy, Krishna Mehra, and Ajay Modani are the three entrepreneurial minds behind the creation of Capillary Technologies in 2008. Since its founding, the company has grown to become a dominant leader in cloud-based loyalty, CRM, and full customer engagement solutions, serving a fast-moving digital market.

With more than 390 brands in 46 countries worldwide, the company has a very impressive list of clients. It has a wide network of large corporate clients like Tata Digital, Aditya Birla Fashion, and Abbott Labs, indicating its ability to serve large-scale and diversified businesses.

Capillary was forced to amend its original fundraising plan in anticipation of its public listing, which is highlighted in the red herring prospectus of the company. The company made two major changes in its intended Initial Public Offering. The new issue portion of the offering was lowered to ₹345 crore as compared to the initially planned amount of 430 crore.

The component of offer-for-sale (OFS) was also highly reduced to 92.2 lakh shares as compared to the larger 1.83 crore shares stated in the draft filing. These amendments are indicative of an improved capital structure and public offering before the launch of the IPO.

Conclusion

The ₹393.7 crore pre-IPO fundraising of the anchor investors is a major achievement of Capillary Technologies, as it is an indicator of the market’s positive perception of the market towards the SaaS industry and the particular Capillary Technologies development pattern. The company has had an excellent financial performance in the recent past that supports this institutional interest. Capillary shows a massive revenue of ₹598 crore in the Financial Year 2025, recording a notable 14% growth over the previous year. Notably, the company recorded a net profit of ₹14.1 crore and an impressive turnaround of the firm in the same period. Such profitability compares to the loss of ₹68 crore recorded last year.