Audio-streaming and microdrama platform Kuku Technologies has secured SEBI approval for a ₹3,500 crore IPO. The company, which owns Kuku FM and Kuku TV, targets a mid-2027 listing. Investors will monitor how the firm balances high content production costs with its aggressive revenue growth targets.
Kuku Technologies, the parent firm behind the audio-streaming platform Kuku FM and the microdrama application Kuku TV, has received regulatory approval from the Securities and Exchange Board of India (SEBI) for its proposed initial public offering. The company is set to launch an IPO worth ₹3,500 crore, aiming to list on Indian stock exchanges by the first half of 2027. The firm is expected to file an updated prospectus within the next three weeks.
The offering will consist of a fresh issue of shares and an offer for sale by existing stakeholders. The company is aiming for a valuation of approximately ₹15,000 crore, which is a significant increase from the ₹4,500 crore valuation reported during its private funding round in June. This jump highlights the company's aggressive growth ambitions in the digital content space.
Since its founding in 2018 by Lal Chand Bisu, Vikas Goyal, and Vinod Kumar Meena, the business has shifted its focus toward the fast-growing microdrama market. The launch of Kuku TV in 2024 has become a central part of this strategy. Financial performance indicates a period of intense spending to fuel this expansion. In FY25, the company reported operating revenue of ₹241.5 crore, alongside a net loss of ₹152.6 crore. However, internal projections suggest revenue scaled to ₹1,400 crore in FY26 as the company moves toward operational breakeven.
The company has appointed a consortium of major investment banks, including Kotak Mahindra Capital, Jefferies, JM Financial, and Axis Capital, to manage the IPO process. Kuku Technologies plans to use the capital raised from the fresh issue to strengthen its core technology, specifically artificial intelligence infrastructure, and to fund content production and expansion into new markets. The company is also scaling its Mumbai-based AI-led content production unit, with plans to expand its workforce significantly.
For investors, the primary monitorable will be the company's profitability path. Content-heavy businesses in the streaming and microdrama sector often require sustained, high spending to acquire and retain users. The challenge for the firm will be to manage these costs effectively while maintaining the growth trajectory projected by its management. Success will largely depend on the company's ability to transition from high-cash-burn expansion to a sustainable, profit-generating model as it prepares for the public markets.