Fractal Analytics logo is seen in this illustration taken November 18, 2025. REUTERS
Feb 16 (Reuters) – Shares of India’s Fractal Analytics fell about 5% in their trading debut on Monday, as a recent selloff in software and data analytics firms amid fears that AI tools might disrupt existing business models kept investors cautious.
Founded in 2000, Fractal Analytics is an enterprise AI company with several Fortune 500 companies as customers, and helps them leverage data, analytics, and artificial intelligence to make business decisions.
The firm’s shares were trading at 861.25 rupees at 11:14 a.m. IST, valuing Fractal at 148.11 billion rupees ($1.63 billion), below the IPO issue price of 900 rupees. India’s benchmark Nifty 50 was trading 0.3% higher.
“The listing was in line with expectations as the premium that Fractal Analytics’ shares commanded in the unlisted market more than a week ago had disappeared due to fears of AI-driven disruption in traditional software and data analytics companies,” said Vipul Bhowar, senior director at wealth management firm Waterfield Advisors.
Last week, Fractal’s $314 million IPO was fully subscribed only on the final day of bidding as it came at a time when Indian information technology stocks had their worst showing in 10 months.
Bhowar expects Fractal’s shares to consolidate around current levels until clarity emerges on the impact of AI on its business model.
The firm’s key business segments include Fractal.ai, which includes AI products and services, and Fractal Alpha, which enables incubation of new businesses and integration of acquired ones.
Reporting by Vivek Kumar M and Komal Salecha in Bengaluru; Editing by Sumana Nandy and Mrigank Dhaniwala
