The round valued Fractal at over $1 billion, TechCrunch reported quoting Srikanth Velamakanni, co-founder and group chief executive at Fractal.
In a statement, TPG said that it invested in Fractal through TPG Capital Asia, its Asia-focused private equity platform. The transaction includes a combination of primary investment and secondary share purchase from funds advised by APAX.
The transaction is expected to close by the first quarter of 2022. Additional terms of the deal were not disclosed.
As part of the transaction, TPG’s Puneet Bhatia and Vivek Mohan will join Fractal’s board of directors. All current directors including Gavin Patterson, Rohan Haldea, Shashank Singh, and Gulu Mirchandani will continue to serve on the company’s board, the statement added.
Both TPG and APAX will be minority shareholders in the company.
“We continue to see great momentum in how clients are leveraging AI to accelerate digital transformation. Fractal is building a great workplace and an innovative culture that’s driving significant client outcomes through our ‘user-focused, decision-backwards’ approach to solving problems,” said Srikanth Velamakanni, co-founder & group CEO, Fractal.
“TPG’s capabilities across all our markets and their proven success in building and supporting top AI providers is the perfect complement to the partnership we’ve enjoyed with Apax, whose insight and expertise have been instrumental in accelerating our growth.”
Fractal is one of the most prominent players in the AI space. Its flagship products include Qure.ai, Crux Intelligence, Theremin.ai, Eugenie.ai, and Samya.ai.
Fractal has more than 3,500 employees across 16 global locations, including the United States, UK, Ukraine, India, Singapore, and Australia.
TPG is a leading global alternative asset firm founded in San Francisco in 1992 with $109 billion of assets under management and investment and operational teams in 12 offices globally. TPG invests across five multi-product platforms: capital, growth, impact, real estate, and market.
Separately, TPG disclosed on Tuesday that it is aiming for a $9.5 billion valuation in its US initial public offering, which it is targeting for later this month.