Chennai-based digital transformation and technology consulting firm KaarTech has raised ₹100 crore (approximately $11 million) in a fresh funding round led by growth-stage investment firm Playbook Partners. The investment marks a key milestone for the company as it accelerates its expansion plans in the enterprise technology and SAP consulting space.
The round was completed through the issuance of 4,00,520 Series B compulsorily convertible cumulative preference shares (CCPS) at an issue price of ₹2,496.75 per share, as per regulatory filings. The funds will be utilised to strengthen KaarTech’s operational capabilities, expand infrastructure, support business growth initiatives, and meet general corporate requirements.
Strong Revenue Growth and Return to Profitability
KaarTech’s latest fundraise comes at a time when the company has demonstrated significant financial growth. For the financial year ending FY25, the company reported revenue of approximately ₹718 crore, reflecting a sharp 56.8% year-on-year increase from ₹458 crore in FY24.
More importantly, the firm returned to profitability in FY25 with a net profit of ₹7.74 crore, compared to a loss of ₹66.93 crore in the previous financial year. The turnaround indicates improved operational efficiencies and stronger deal momentum in enterprise digital transformation projects.
With increasing demand for SAP-led business transformation, cloud migration, automation, and analytics solutions, KaarTech appears to be leveraging the enterprise technology boom across India and global markets.
About KaarTech and Its Business Focus
Founded in 2006 by Maran Nagarajan, Ratnakumar N, Selvakumaran M, and Guardian George, KaarTech has positioned itself as a specialist in SAP consulting and enterprise digital transformation services. The company offers solutions in SAP implementation and support, cloud services, AI-driven automation, data analytics, and managed services.
Over the years, the company has built a global presence, serving enterprises across multiple industries that are undertaking large-scale digital modernisation initiatives. With enterprises increasingly prioritising technology-led efficiency and digital agility, KaarTech’s service portfolio aligns well with current industry demand.
Investor Confidence and Shareholding Structure
Following the new funding round, A91 Partners continues to remain one of the largest external shareholders in the company, holding a significant stake. Playbook Partners has acquired an estimated 4.76% stake through this investment. The founding team continues to retain meaningful ownership, reinforcing long-term leadership commitment and strategic continuity.
Playbook Partners is known for backing established growth-stage companies that have crossed the ₹100 crore revenue mark and are preparing for accelerated expansion. The investment in KaarTech fits squarely within this strategy, focusing on businesses with proven scale and profitability potential.
What This Means for India’s Enterprise Tech Ecosystem
India’s enterprise technology and consulting sector is witnessing strong momentum as businesses accelerate digital adoption post-pandemic. With enterprises investing heavily in cloud, AI, analytics, and automation, service providers like KaarTech are well-positioned to benefit from this sustained demand.
The ₹100 crore capital infusion is likely to support hiring, expansion into new geographies, deeper client engagement, and possible capability enhancement. As digital transformation becomes central to enterprise strategy, mid-sized but high-growth firms such as KaarTech are increasingly attracting structured growth capital.
With robust revenue growth, a return to profitability, and fresh investor backing, KaarTech is entering its next phase of expansion with strengthened financial support and market confidence.