Singapore-based Temasek invests Rs 440 crore in India's gym chain Cult.fit

Cult.fit, the fitness chain formerly known as Cure.fit, has raised Rs 440 crore ($47 million) from Singapore’s state investment firm Temasek, as it prepares for a potential stock market listing.

A filing with India’s Registrar of Companies shows the company has approved the allotment of 9,098,052 Series G compulsorily convertible preference shares at Rs 483.62 each to MacRitchie Investments, an affiliate of Temasek.

The deal comes weeks after India’s Competition Commission approved MacRitchie’s proposal to buy a partial stake in the company. Temasek is also reported to be seeking a further 10.71% holding.

Founded in 2016 by Mukesh Bansal and Ankit Nagori, Cult.fit operates a network of gyms and fitness centres, while also offering digital services through its app. The company said it runs more than 700 gyms under the Cult.fit brand and is present in more than 40 cities, with reports also describing its wider reach across hundreds of locations through its hybrid model.

The fundraising is seen as a likely final private round before an initial public offering. Indian media reports have said the company has appointed Axis Capital, Jefferies, Goldman Sachs, Morgan Stanley and JM Financial to manage a planned Rs 2,500 crore share sale.

Cult.fit is reportedly aiming for a valuation of about $2 billion through the listing.

According to filings and reports, the company’s valuation in the latest round remained broadly unchanged at about Rs 13,668 crore ($1.45 billion) post-money.

The company has raised more than $660 million, and by some estimates over $720 million, from investors including Zomato, Tata Digital, Temasek, Kalaari Capital, Chiratae Ventures and South Park Commons. It was valued at more than $1billion in 2021, making it a unicorn.

Cult.fit’s financial performance has improved in the run-up to its expected listing. For the year to March 2025, operating revenue rose 31% to about Rs 1,216 crore, while losses narrowed to about Rs 481-483 crore, down from roughly Rs 888 crore a year earlier.