This data center operator is planning $1.5B IPO in India
What's the story
Yotta Data Services, a leading data center operator backed by the Hiranandani Group, is gearing up for an initial public offering (IPO) in the January-March quarter of 2027. CEO Sunil Gupta revealed to Reuters that the company plans to file draft IPO papers in October this year. The move comes as demand for artificial intelligence (AI) computing infrastructure surges in India.
Funding plans
The funds will be used to repay debt, purchase GPUs
Yotta is looking to raise up to $1.5 billion through its IPO.
The funds will be used to repay debt, purchase graphics processing units (GPUs), and expand sovereign cloud infrastructure that keeps data within national borders.
Gupta said that the company is currently raising pre-IPO capital and expects the IPO portion to be smaller than initially planned as much of its fundraising target has already been met.
Financial status
Yotta raised $150M recently
In a recent LinkedIn post, Gupta revealed that Yotta had raised $150 million in primary growth capital at a valuation of around ₹37,000 crore ($3.9 billion).
He also said that India is becoming an attractive destination for AI infrastructure investment as power constraints and GPU shortages slow expansion in the US and Europe.
Market standing
Global client base and government incentives
Yotta claims to be India's largest provider of NVIDIA-powered AI computing infrastructure.
Gupta said global clients make up 75%-80% of their customer base.
He also noted that a 20-year tax holiday announced by the Indian government in February for foreign firms using local data centers has boosted confidence among overseas customers.