Yotta Data Services plans $1.5B fundraise by March 2027, including an IPO of up to $400M. The company is expanding its Nvidia GPU fleet from 37,000 to 85,000 chips.
Yotta Data Services plans to raise $1.5 billion by the end of the current fiscal year, combining pre-IPO funding and an initial public offering in India, co-founder Sunil Gupta said. The IPO could reach $400 million, with the bulk of the total potentially closed in the pre-IPO round. The company is targeting the fourth quarter for the listing, subject to approval from the Securities and Exchange Board of India.
“We are targeting Q4 of this fiscal year, subject to Sebi approval,” Gupta said in an interview. “The idea is that a big part of this $1.5 billion may get closed in the pre-IPO round itself, for which we’re in touch with large funds based in the US, and also those with India offices.” The final IPO size will depend on how much Yotta raises beforehand, he added.
Yotta shifted from an earlier plan to list in the United States after the government nudged it toward a domestic IPO. The company’s sovereign‑cloud business is built entirely in India, with the government as a major customer and private sector clients expected to follow as geopolitical risks sharpen. “The nudge from the government for this was clear: why are you raising (funds) outside? Why not within India?” Gupta said.
Yotta was founded in 2019 by Gupta and Darshan Hiranandani. For the year ended March 2025, the privately held firm reported revenue of ₹890.7 crore and a profit of ₹11.1 crore, according to ministry of corporate affairs filings.
The $1.5 billion raise is the next step in a larger capital push. Yotta plans to raise $8.5 billion by 2029 and quadruple installed data center capacity to 800 megawatts from the current 180 megawatts. Much of that spending will go toward Nvidia chips and the infrastructure needed for artificial intelligence computing. Yotta expects to increase its Nvidia chip count from 37,000 to 85,000 by the end of this fiscal year.
India’s data center market is attracting heavy investment from multiple players. Regulatory requirements – the Reserve Bank of India mandates domestic storage of payment data, and Sebi imposes similar rules for market participants – are driving demand, alongside 5G rollout and the rapid adoption of generative AI. Airtel‑backed Nxtra raised $1 billion in March from investors including Alphawave; Carlyle and Anchorage Capital also participated. CtrlS Datacenters raised $425 million from a Canadian public pension fund in June. Adani and Reliance Industries have outlined plans to spend more than $100 billion each over the coming decade on data centers.
Yotta’s proposed raise is large even by those standards. The company follows a different model, said Ashish Banerjee, senior principal analyst at Gartner. “Yotta is seeking to build a GPU‑intensive AI infrastructure platform, in which the investment extends beyond traditional data‑center capacity to include GPUs, high‑density power and cooling, networking, and storage. The size of the proposed raise reflects the substantial step‑up from its current operational footprint to its announced capacity ambitions.”
Sebi approval remains pending. Yotta expects to have 85,000 Nvidia chips installed by March 2027.
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