A Kolkata-based, AI-powered customer-experience leader opens its Rs 702 crore mainboard issue on October 14
Fusion CX Ltd (FCL) is a customer-experience (CX) service provider delivering omnichannel support across voice, email, chat, social media and messaging — a play on the global shift from traditional, cost-focused BPO toward strategic, AI-enabled, end-to-end customer engagement.
Technology is central to its model: it blends deep domain expertise with proprietary AI tools to deliver intelligent, multilingual engagement at scale, and additionally offers AI Data Infrastructure Services (data collection, annotation/labelling, and teleoperations).
The “human + tech” positioning is the differentiator. While traditional BPO emphasises back-office cost efficiency, CX emphasises end-to-end engagement, personalisation and value creation — a more strategic, future-ready offering.
Approaching clients through a CX lens has helped FCL win larger customers, including 22 Fortune 1000 companies out of 208 total clients (as of June 30, 2026), with marquee names like Ajio, Meesho, Arvind Fashion, Leonardo Hotels and Traya. Flexible commercial models (fixed-fee, transaction-based and outcome-based) let clients choose what suits them.
The global footprint is genuinely extensive. As of June 30, 2026, FCL operated 40 delivery centres and two sales offices across 13 countries, offering 24×7 support in 28 languages (English, French, Spanish, Portuguese, German, Arabic, Mandarin, Italian, Hindi and more).
North American centres serve local markets, Latin America provides cultural/time-zone alignment, and India and the Philippines deliver cost-effective round-the-clock support.
It had 13,735 CX employees plus a 3,829-strong field workforce (in telecom/utilities) as of that date. Its key verticals are telecom and utilities (the largest revenue share), high-tech/travel (HTT), BFSI, retail and healthcare.
The AI/SaaS pivot is the strategic growth story. Driving FCL’s technology-led transformation is subsidiary Omind Technologies, developing proprietary platforms across marketing AI, conversational AI, quality automation and workforce management — central to FCL’s evolution from a traditional CX provider into a productized, SaaS-enabled one.
It also integrates third-party AI (e.g. MindSpeech, a sanas.ai-powered real-time accent-harmonisation tool) for multilingual clarity, and runs AI-driven chatbots and 24×7 conversational support. FCL has a track record of growth-through-acquisition in the CX space. The promoters are Pankaj Dhanuka and Kishore Saraogi (via PNS Business and Rasish Consultant).
Issue Details
| Particulars | Details |
|---|---|
| Issue Opens | October 14, 2026 |
| Issue Closes | October 16, 2026 |
| Listing | BSE, NSE (Mainboard) |
| Listing Date | October 22, 2026 |
| Price Band | Rs 275 – Rs 289 per share |
| Face Value | Rs 1 |
| Issue Size | Rs 702.00 crore (~2,42,90,657 shares) |
| Fresh Issue | Rs 500.00 crore (~1,73,01,038 shares) |
| Offer for Sale | Rs 202.00 crore (~69,89,619 shares) |
| Lot Size | 51 shares |
| Min. Retail Investment | Rs 14,739 |
| IPO as % of Post-IPO Capital | 16.83% |
| Implied Market Cap (upper band) | Rs 4,172.01 crore |
| QIB / NII / Retail | ≥75% / ≤15% / ≤10% |
| Lead Managers | Nuvama Wealth Management, IIFL Capital Services, Motilal Oswal Investment Advisors |
| Registrar | KFin Technologies Ltd. |
The issue is majority fresh (Rs 500 crore) with a Rs 202 crore OFS. From the net fresh proceeds, FCL will utilise Rs 275.70 crore for repayment or prepayment of certain borrowings, Rs 61.15 crore for investment in step-down subsidiaries Omind Technologies (upgrading IT tools Arya and MindVoice), and the rest for general corporate purposes (including inorganic growth).
The large debt-reduction component is a clear positive; the OFS portion goes to selling shareholders.
Post-IPO, paid-up equity rises from Rs 12.71 crore to Rs 14.44 crore. On capital history, promoters’ average cost of acquisition is just Rs 0.12 and Rs 0.13 per share — against the Rs 289 offer price.
Price Band Analysis
At the upper band of Rs 289, on FY27-annualised earnings the issue is valued at a P/E of about 18.73x, and on FY26 earnings about 24.55x, with a P/BV of 5.98 on the June 30, 2026 NAV of Rs 48.35, easing to 3.74x on the post-IPO NAV of Rs 77.36.
GMP Watch
Grey-market interest has been modest and easing. In tracked data, the Fusion CX IPO GMP ranged from ₹0 to around ₹55, and stood at about ₹40 (~13.8% premium) as of October 9 — implying an estimated listing near ₹329 over the Rs 289 upper band (some trackers showed ₹0 the same day, underlining how soft/uncertain the signal is).
Financial Performance
| Particulars (Rs cr) | FY24 | FY25 | FY26 | Q1-FY27 |
|---|---|---|---|---|
| Total Income | 1,021.53 | 1,352.03 | 1,851.83 | 503.85 |
| Net Profit (PAT) | 36.26 | 74.31 | 169.84 | 55.70 |
| PAT Margin (%) | 3.66 | 5.59 | 9.34 | 11.36 |
| RoCE (%) | 19.56 | 49.73 | 71.59 | 19.84 |
The financials show strong, improving performance. Total income grew sharply from Rs 1,021.53 crore in FY24 to Rs 1,851.83 crore in FY26, with Q1-FY27 at Rs 503.85 crore. More impressive is the profit trajectory: PAT surged from Rs 36.26 crore (FY24) to Rs 74.31 crore (FY25) to Rs 169.84 crore (FY26) — nearly 5x over two years — with Rs 55.70 crore in Q1-FY27 alone.
PAT margin expanded steadily from 3.66% to 9.34% (and 11.36% in Q1-FY27), driven by the shift toward higher-value, AI-enabled CX work and operating leverage.
The quality markers are solid: the company reported an average EPS of about Rs 9.18, an average RoNW of 24.59%, and a consistent, rising dividend record (10% FY24, 20% FY25, 30% FY26).
The main watch-items are rising trade receivables year-on-year (a cash-quality concern) and the margin sustainability question — the sharp, acquisition-aided profit ramp should be read with some caution, though the AI-led mix shift is a genuine structural driver. Contingent liabilities were modest at Rs 9.90 crore.
Peer Comparison
The offer document lists Firstsource Solutions, eClerx Services, Alldigi Tech, Inventurus Knowledge Solutions, Sagility India and Hinduja Global as peers, trading at P/Es of roughly 23.8x, 24.1x, 13.1x, 38.6x, 20.0x and NA (as of October 9, 2026). These differ in scale and mix, so the comparison isn’t strictly apples-to-apples — but FCL’s ~24.5x FY26 (18.7x FY27-annualised) sits broadly in line with the CX/BPO peer set, which gives the valuation reasonable cover.
Risks to Consider
Customer concentration is a key risk. The top 10 customers contributed ~40% of revenue (37.95% in Q1-FY27, ~40% in FY26) — so the loss of, or reduced business from, a major client could hit revenue meaningfully.
Rising receivables. Trade receivables have risen year-on-year, raising a cash-conversion concern for a services business — worth monitoring alongside the strong profit growth.
Margin sustainability and acquisition-led growth. Profit has ramped sharply (part acquisition-aided), and PAT margin has tripled — so the durability of the recently-elevated margins, and successful integration of past/future acquisitions (including unidentified ones funded by the raise), are open questions.
AI/technology execution and competition. The pivot to a productized, SaaS-enabled model via Omind must deliver; the CX/BPO space is intensely competitive globally, and FCL faces large, well-capitalised rivals, plus the structural risk that AI automation could compress traditional voice/CX volumes if it doesn’t move up the value chain fast enough.
Forex, geographic and client-industry exposure. With 40 centres across 13 countries and most revenue international, FCL carries currency, geopolitical and regional-regulation risk, and demand is tied to client-industry (telecom, BFSI, retail, healthcare) spending cycles.
Full valuation and OFS. On trailing earnings the issue is fully priced (~24.5x FY26), and the Rs 202 crore OFS goes to selling shareholders rather than the business.
