Yotta Data Services plans $1.5 billion IPO by March 2027
Indian data center provider Yotta Data Services is planning a public offering by March 2027, aiming to raise up to $1.5 billion. The funds will be used for debt repayment and expanding AI infrastructure.
Yotta Data Services, an Indian data center and cloud infrastructure provider, is preparing for an initial public offering (IPO) with a target of March 2027. The company aims to raise as much as $1.5 billion through the offering, which is expected to consist solely of new equity shares.
The capital raised will be allocated towards repaying debt, acquiring Graphics Processing Units (GPUs), and expanding the company's sovereign cloud infrastructure. This expansion is driven by the increasing local demand for AI computing power, according to CEO Sunil Gupta.
Backed by the Hiranandani Group, Yotta has positioned itself as a significant player in India's AI infrastructure market. The company previously secured $150 million from non-institutional investors at a valuation of $3.9 billion.
Yotta's business model includes colocation services (20% of revenue), sovereign cloud and managed services (25-30%), and GPU compute (approximately 50%). The company has shifted its focus to international clients, who now represent the majority of its customer base, benefiting from favorable tax policies for cloud services originating from India.