Bengaluru-based health and fitness platform Cult.fit, formerly known as Cure.fit, has raised $10.2 million in a Series F funding round led by Valecha Investments, showcasing financial resilience, strategic vision, and a diverse investor landscape with a valuation of INR 12,400 crore post-money and plans for potential public listing.
The round, led by existing backer Valecha Investments with a contribution of over INR 36 crore, also saw participation from Gul Advani of Sun-n-Sand Hotels, who infused INR 28.26 crore.
Other contributors included Extreme Brands, L&K Wellness Services, and several individual investors. This funding round signifies Cult.fit’s return to fundraising after a two-year hiatus, bringing the total investments to over $670 million for the health platform.
Cult.fit Financial Performance
Cult.fit, founded in 2016 by Mukesh Bansal and Ankit Nagori, witnessed a 3.2X increase in operating revenue, reaching INR 694 crore in FY23, up from INR 216 crore in FY22. The company also narrowed its losses by 20 percent, reducing them to INR 551 crore in FY23 compared to INR 688 crore in FY22.
The funding round follows the startup’s strategic move in January 2024, where it underwent a cost-cutting exercise resulting in employee layoffs. Despite these measures, the health platform has demonstrated resilience and financial growth.
Investor Landscape
Valecha Investments was pivotal in leading the funding round, with Gul Advani and other entities like Extreme Brands LLP and L&K Wellness Services contributing significantly. The startup’s board approved the issuance of equity shares to Extreme Brands LLP and Series C compulsory convertible preference shares to other investors.
Cult.fit achieved unicorn status in November 2021, with a valuation of INR 12,400 crore (post-money), following a $100 million deal where Zomato founder Deepinder Goyal acquired a 6.4 percent stake. The startup has garnered previous investments totaling over $650 million from notable backers like Accel, Temasek, Chiratae, and Kalaari Capital.
Cult.fit Future Plans
In 2021, Cult.fit announced plans for a public listing after its core gym business achieved operating profitability in 2022. The recent funding injection will support the company’s expansion and strategic initiatives.
Cult.fit’s successful funding round underscores its resilience and strategic vision in the highly competitive health and fitness industry. With a solid financial foundation, the startup aims to continue its growth trajectory, offering online and offline fitness services to its global audience.
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