Kuku Technologies Secures SEBI Nod for IPO of Up to Rs 3500 Crore, Cleared to File UDRHP

The Securities and Exchange Board of India (SEBI) has issued its observations and granted regulatory approval to Kuku Technologies Limited for its initial public offering (IPO), clearing the deck for the digital media startup to file its Updated Draft Red Herring Prospectus (UDRHP) in the public domain.

The parent company of vernacular audio platform Kuku FM and short-form video application Kuku TV had initially submitted confidential draft papers to the regulator. Under SEBI’s confidential pre-filing framework, an issuer is permitted to resolve regulatory queries privately before opening the draft red herring prospectus to public scrutiny and subsequently submitting a formal Red Herring Prospectus (RHP).

Issue Structure and Valuations

According to market sources, the proposed public issue seeks to raise between ₹2,500 crore and ₹3,500 crore (approximately $360 million), with the company targeting a valuation of up to ₹15,000 crore ($1.8 billion) upon listing.

The offer is set to be a book-built issue comprising a combination of a fresh issue of shares and an Offer for Sale (OFS) by existing investors.

Key Transaction Advisors:

• Kotak Mahindra Capital Company
• Jefferies
• JM Financial
• Axis Capital

Net proceeds from the fresh capital raise are slated to be deployed towards upgrading technology infrastructure, scaling artificial intelligence (AI) systems, expanding content production, and pursuing international geographic expansion, including entry into regions such as the United States.

Exponential Growth Driven by Micro-Dramas

Founded in 2018 by IIT graduates Lal Chand Bisu, Vinod Kumar Meena, and Vikas Goyal, Kuku Technologies initially scaled as an audio storytelling platform focused on regional Indian languages, hosting audiobooks, podcasts, and serials.

The firm’s operational momentum accelerated sharply following the launch of Kuku TV in late 2024, tapping into the emerging format of smartphone-first "micro-dramas"—episodic video series with runtimes of two to three minutes. Kuku TV releases more than 150 original shows monthly and has crossed over 200 million downloads.

Across all its verticals—including Kuku FM, Kuku TV, and edutainment platform Guru—the company reports having surpassed 400 million total downloads, maintaining an active paid subscriber base of more than 10 million users, alongside a library spanning over 60,000 hours of content in multiple Indian languages.

Financial Turnaround and Backing

Financial disclosures indicate a rapid expansion in the company's top line. Kuku Technologies generated operating revenue of over ₹1,400 crore in FY26, climbing nearly sevenfold from approximately ₹240 crore in FY25. Aided by AI-driven tools that reduce customer acquisition expenditure and hasten content assembly cycles, the business has reportedly neared operational breakeven after posting a loss of ₹153 crore in FY25.

To date, Kuku Technologies has raised over $150 million from marquee venture capital and institutional investors. Its cap table features:

• Granite Asia
• Vertex Ventures
• Krafton
• International Finance Corporation (IFC)
• Fundamentum Partnership
• 3one4 Capital
• India Quotient
• Paramark Ventures
• Former Indian cricket captain Mahendra Singh Dhoni

Market Significance

With SEBI’s approval secured, Kuku Technologies enters the secondary stage of the confidential listing roadmap, where the updated draft document will be made accessible for public review before the launch timeline, pricing bands, and final issue dates are officially scheduled for debut on the BSE and NSE. The issue will serve as a prominent barometer of Dalal Street’s appetite for digital content monetization, vernacular media, and consumer-facing technology companies.

Tags: Kuku Technologies Kuku FM SEBI IPO Media and Entertainment BSE