The startup is targeting a valuation of up to ₹15,000 Cr (about $1.8 Bn) for the public listing
The fresh issue component is likely to be utilised toward improving its technology and AI infrastructure, content production, and geographic expansion
Founded in 2018, Kuku operates vernacular audio and short-video apps under Kuku FM and Kuku TV brands, respectively
OTT startup Kuku has filed its DRHP through the confidential route to raise up to ₹2,500 Cr – ₹3,500 Cr (about $261 Mn to $366 Mn) through its IPO. The startup is targeting a valuation of up to ₹15,000 Cr (about $1.8 Bn) for the public listing, sources told Inc42.
The IPO will consist of a fresh issue of shares and an offer-for-sale component, with the fresh funds likely to be utilised toward improving its technology and AI infrastructure, content production, and geographic expansion.
Kuku first floated plans to go public late last year, soon after it raised its largest cheque of $85 Mn in its Series C round from Granite Asia at a valuation of $500 Mn. It onboarded Kotak Mahindra Capital, Jefferies, JM Financial and Axis Capital as the lead managers for the IPO.
The startup reported a revenue of ₹1,4000 Cr in FY26, up 5.8X from ₹240 Cr in the previous fiscal year, the sources said, adding that it was close to breakeven in the last fiscal year.
Kuku declined to comment on Inc42’s queries on the development.
Founded in 2018 by Lal Chand Bisu, Vikas Goyal and Vinod Meena, Kuku operates vernacular audio and short-video apps under Kuku FM
and Kuku TV brands, respectively. It also operates a microlearning platform Guru.
Its offerings include audiobooks on content around finance and well-being, microdrama series, among others. Offering its content across languages like Hindi, English, Tamil, Bengali, the startup claims to have more than 1 Cr listeners and creators on its platform and 400 Mn app downloads across its portfolio of offerings.
Besides, it has also built an in-house GenAI studio that leverages AI to produce content. GenAI tools are used for multilingual translation, advertisement creation, and sentiment analysis. Its microdrama offering Kuku TV is already releasing 150 shows on a monthly basis leveraging the technology, with the scope to scale production up further.
The startup has now begun laying the groundwork for entry into developed markets, including the US.
It has raised $156 Mn to date from the likes of Fundamentum Partnership, Krafton, Vertex Ventures, IFC, 3one4 Capital, among others.
It recently onboarded former Indian cricket team captain Mahendra Singh Dhoni as an investor as well as the brand ambassador for Kuku TV.
The development comes at a time when the Indian microdrama market is gaining popularity rapidly. The segment is expected to surge to $6.5 Bn in value by 2033 from $1.5 Bn currently, driven by increasing smart phone penetration and access to cheap internet. Further, the push toward regional content by platforms like Kuku and Pocket FM, while leveraging AI for driving algorithms and personalised search results is also contributing to the segment’s popularity.
Other players in this space include Flick TV, ReelSaga and Miniplix, with OTT incumbents like Amazon, JioHotstar and Zee5 also riding the wave with their own microdrama offerings. Its biggest competitor is Lightspeed-backed Pocket FM.
Source: Inc42 - Startups
