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Mukesh Bansal's Cult.fit secures $10.2 million in funding with the support of existing investors.



Cult.fit, a startup focused on health and fitness, has reportedly secured Rs 84.5 crore (about $10.2 million) in funding, with Valecha Investments leading the round by contributing over Rs 36 crore. Notable investors included Gul Advani of Sun-n-Sand Hotels, who invested Rs 28.26 crore, as well as contributions from Extreme Brands LLP, L&K Wellness Services, and several individual investors.


The company's board passed special resolutions to issue 1,55,080 equity shares to Extreme Brands LLP and 15,92,157 Series C compulsory convertible preference shares (CCPS) to other investors at an issue price of Rs 483.62 per share, raising the total funding to Rs 84.5 crore, according to regulatory filings.


Founded in 2016 by Mukesh Bansal and Ankit Nagori, Cult.fit is shifting from a technology-centric gym chain to a more offline-focused model. The startup plans to expand its physical presence by opening more centers across the country. Its offerings include group workouts at Cult.fit centers, gym- and equipment-based workouts at partner facilities, and online training, catering to a diverse range of fitness enthusiasts.


Financially, Cult.fit has seen significant growth, with operating revenue more than tripling to Rs 694 crore in FY23 from Rs 216 crore in FY22. The company also reduced its losses to Rs 551 crore in FY23 from Rs 688 crore the previous year.


Despite its revenue growth, Cult.fit has been cautious with its expenses. Employee benefits, the largest cost center, increased by 17.5% to Rs 343 crore, including Rs 86.3 crore as a non-cash expense for Employee Stock Option Plans (ESOPs). Total expenditure, including material consumption, advertising, IT, commissions, and legal fees, rose to Rs 1493 crore, a 50.2% increase from the previous year.

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