Fractal the second unicorn in 2022 bags $360 million investment from TPG

Fractal, a US-based artificial intelligence firm, becomes the second unicorn in 2022 with the latest investment of $360 million from the private equity firm TPG Capital Asia. The funding will close by the first quarter of 2022.

With the latest investment, the company's valuation has exceeded $1 billion, according to industry sources. Mamaearth, valued at $1.2 billion, was the first unicorn in 2022.

After Mu Sigma, this is the second firm in India in the pure-play analytics space to reach the unicorn status. This also comes at a time when the analytics space is gaining huge interest from investors. For instance, Chennai-based LatentView Analytics saw a huge response for its IPO last year.

The transaction includes a combination of primary investment and secondary share purchase from Funds advised by Apax, who will remain a major shareholder following the transaction, the company said in a statement. Apax bought a $200 million stake in Fractal in 2019. This investment comes at a time when the company is weighing IPO, according report.

Fractal was founded in 2000 in Mumbai and established its base in the US in 2005 by five people including group CEO Srikanth Velamakanni and Pranay Agrawal, CEO. It employs 3,500 people across 16 global locations, including the United States, the UK, Ukraine, India, Singapore, and Australia. Fractal's products include Qure.ai to assist radiologists in making better diagnostic decisions.