Capillary Technologies India Ltd. is a prominent Indian Software-as-a-Service (SaaS) firm focused on customer loyalty and engagement solutions. Established in 2008 and based in Bengaluru, Capillary furnishes a complete set of products designed to empower brands to better comprehend and connect with their customers using insights derived from data.

Key Offerings:

• Loyalty Management Solutions: Capillary delivers scalable, customizable loyalty programs tailored for businesses in sectors such as retail, FMCG, and hospitality.
• Customer Engagement & Marketing Automation: The platform supports personalized marketing efforts across channels like SMS, email, and push notifications.
• AI & Analytics: Their tools utilize Artificial Intelligence and machine learning to provide both real-time customer insights and predictive analytics.
• Omnichannel CRM: This ensures brands can maintain consistent customer interaction across all their digital and physical touchpoints.

Capillary’s global footprint includes serving over 250 brands in more than 30 countries, with a client list featuring industry leaders such as Tata, Domino’s, Jockey, PUMA, and Shell.

The company mainly uses a subscription-based SaaS model, earning revenue from software licenses, professional services, and ongoing support.

For the year/period ended (Rs. in Cr.)

For year/ period ended ( in Cr.)

(There are no listed players in the market)

*Market cap @upper band

• Dominant Force in Loyalty Solutions
• Extensive Suite of Offerings (Loyalty+, Insights+, Engage+, Rewards+) serving a variety of customer segments.
• Ability to create diverse loyalty programs and coalitions for large retailers and corporate groups.
• Specialization in customer and fleet loyalty for the energy retail sector.
• Scalable, Cloud-Based Infrastructure that enables effortless integration.
• Strong, long-standing customer relationships leading to a high Net Revenue Retention rate.

Capillary Technologies Ltd’s IPO proposes to utilise the Net Proceeds from the Issue towards the following objects:

• Funding our cloud infrastructure cost
• Investment in research, designing and development of our products and platform
• Investment in purchase of computer systems for our business
• Funding inorganic growth through unidentified acquisitions and general corporate purposes.

At the upper band of IPO ₹577, the stock is valued at a high 298x P/E multiple. Hence, well-informed investors would cautiously subscribe for medium to long term perspective.