Yotta Data Services, an Indian data centre company backed by the Hiranandani Group, has set its sights on the public market. The company plans to launch its initial public offering, or IPO, in the January-March quarter of 2027. It may raise as much as $1.5 billion through the process.
The plan came to light on September 2, 2026, after Yotta CEO Sunil Gupta spoke to Reuters. The company also plans to file its draft IPO papers in October. The proposed issue could become one of the major public market deals linked to India’s fast-growing artificial intelligence and data centre sector.
The proposed IPO comes at a time when demand for AI computing power has grown sharply. Companies across the world need large amounts of computing power to support AI models, cloud services and other digital tools. This has created a strong need for data centres, advanced chips and reliable power.
Why Yotta Wants Up to $1.5 Billion
Yotta plans to use the IPO funds for three main needs. One is debt repayment. Another is the purchase of graphics processing units, also known as GPUs. The third is the expansion of its sovereign cloud infrastructure.
Debt repayment can help the company reduce its financial burden. GPUs are important because they provide the computing power needed for modern AI systems. Sovereign cloud services are also becoming more important as companies and governments seek to keep sensitive data within national borders.
The $1.5 billion figure is a maximum target at this stage. Yotta has already raised part of its planned capital through private sources before the IPO. Because of this, the final amount from the public issue could be lower than the earlier target.
Sunil Gupta said the company is now in the process of raising pre-IPO capital. He did not disclose the company’s revenue or the total amount raised so far.
Yotta Has Already Raised $150 Million
Yotta has already secured a major amount of private capital. Gupta said in a LinkedIn post last month that the company had raised $150 million in primary growth capital.
That deal valued Yotta at about 370 billion rupees, or around $3.9 billion. This gives investors a useful view of the company’s private market value before its proposed public debut.
The new IPO plan comes after this private capital deal. Since Yotta has already received part of the money it wants, the public issue may not need to reach the full $1.5 billion level.
Still, a deal of this size would put Yotta among the major Indian companies to seek public funds for AI and digital infrastructure.
AI Demand Gives Yotta a Strong Market
Yotta’s IPO plan is closely linked to the rapid growth of artificial intelligence. AI systems need large data centres with powerful chips, strong networks and high power capacity.
Global technology companies have also increased their focus on India. Google and Amazon are among the major technology firms that have expanded their presence in the country.
India offers several advantages for data centre companies. It has a large digital economy, a large technology workforce and a growing need for cloud and AI services. More global companies also want local infrastructure for their Indian operations.
Yotta believes these factors can support its growth over the next few years.
The company says it is India’s largest provider of Nvidia-powered AI infrastructure. Its business has a direct link to the growing need for high-performance computing.
India Becomes More Important for AI Infrastructure
Yotta CEO Sunil Gupta said India has become an attractive place for AI infrastructure investment. The company sees an opportunity as the United States and Europe face issues such as power limits and shortages of GPUs.
The global market also faces wider geopolitical uncertainty. Such factors can make companies look for new locations for data centres and computing facilities.
India can benefit from this shift. Yotta has a large international customer base, with global clients making up about 75% to 80% of its customers, according to Gupta.
This is an important detail for the company because it shows that Yotta is not dependent only on Indian demand. Foreign customers also form a large part of its business.
Tax Policy Could Help Overseas Customers
Another factor that may support Yotta is a tax policy from the Indian government.
The government announced a 20-year tax holiday in February for foreign firms that use local data centres. According to Gupta, this move has improved confidence among overseas customers.
A long tax benefit can make India more attractive for companies that need large amounts of data centre capacity. It can also reduce some costs for foreign firms that choose local infrastructure.
For Yotta, this policy could support its effort to attract more international customers and expand its data centre business.
Yotta Has Big Plans for GPUs
GPUs are at the centre of the current AI infrastructure boom. These chips can handle the huge number of calculations that modern AI systems need.
However, GPUs are expensive. A large AI data centre can require billions of dollars in hardware and related infrastructure. This creates a major need for capital.
Yotta plans to use part of its IPO funds to buy more GPUs. This could help the company add more computing capacity and meet demand from AI customers.
The company has also explored a different way to finance its GPU needs. Under one possible model, partners could buy GPUs through special-purpose vehicles. These partners would share the revenue from the chips with Yotta. After four to five years, ownership of the GPUs could move to Yotta.
This structure could help Yotta add expensive hardware without paying the full cost at the start. However, it is still a financing option under consideration, rather than a confirmed part of the IPO plan.
Yotta Is Expanding Its AI Capacity
Yotta’s larger infrastructure plans also show why the company needs substantial capital.
In February 2026, Yotta announced plans for 20,736 liquid-cooled Nvidia Blackwell Ultra GPUs. The project represents an investment of more than $2 billion. The company said the supercluster would be based at its 60 MW D2 data centre at its Greater Noida hyperscale campus, which can scale to 250 MW.
Yotta also said its Navi Mumbai campus can scale to 2 GW. The company announced a four-year engagement worth more than $1 billion with Nvidia to establish one of the largest DGX Cloud clusters in the Asia-Pacific region.
These projects show the scale of capital needed for AI infrastructure. They also help explain why Yotta sees the public market as an important source of funds.
What the IPO Means for Yotta
A successful IPO could give Yotta access to a much larger pool of capital. It could reduce debt, increase its GPU capacity and help it expand its sovereign cloud services.
The public listing would also give investors a chance to gain exposure to India’s AI infrastructure sector. However, the IPO is still several months away. The final issue size, valuation, price band and other details are not yet available.
Yotta first needs to file its draft IPO papers, which it plans to do in October. Investors will get more information about the company’s financial performance, risks and business plans through those documents.
For now, the proposed IPO shows how quickly India’s AI and data centre market has grown. Yotta is preparing for a public market debut at a time when demand for AI computing power remains strong.
If the company follows its current plan, Yotta could enter the stock market in the January-March quarter of 2027 with a major focus on AI infrastructure, GPUs, debt reduction and sovereign cloud services. The proposed $1.5 billion target gives the IPO a large scale, although the final public issue could be smaller because Yotta has already secured part of its capital through pre-IPO funding.
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