Mysuru’s home-grown tech firm Excelsoft Technologies Limited gears up for massive expansion

A company that began in a small garage at Jayalakshmipuram has now grown into a formidable Rs. 500-crore IPO (Initial Public Offering). Excelsoft Technologies Limited — formerly Excelsoft Technologies Private Limited — went public on Nov. 19, aiming to fuel its expansion and strengthen its global footprint.

Excelsoft, a global vertical SaaS (Software as a Service) company, was founded in 2000 by Dhananjaya Sudhanva, the company’s Chairman and Managing Director, with a single PC purchased on a term loan. He soon hired two employees and from there, the company’s trajectory only moved upward. Headquartered in Mysuru, Excelsoft now operates not just in India but also in Malaysia, Singapore, the UK and the USA. Today, it employs more than 1,000 people worldwide and serves over 30 million learners across the globe.

Star of Mysore caught up with Dhananjaya Sudhanva for a brief interview to understand company’s transition from a private limited to a public limited entity and its future roadmap. Excerpts…

Star of Mysore (SOM): What were the factors that pushed Excelsoft to go public?

Sudhanva: Firstly, we have gone through the entire cycle of raising venture capital, bringing in two partners — one American and one from Singapore’s PCP — and eventually exiting them. By the time they exited, our business had stabilised and was growing. We had clear visibility on our order book for the next two years. That gave us the confidence that this was the right time to launch an IPO.

Secondly, while people call us an Edu-Tech company, we are fundamentally a tech company providing products and solutions to the learning sector — a true vertical SaaS business. To run a vertical SaaS model, you need strong technology products and we have built a solid portfolio in learning, testing, assessments and examinations. Once we aligned ourselves around that focus, two motivations emerged — one, the aspiration to build a product company out of Mysuru and to take it from a garage start-up with one computer on a term loan to a full-fledged IPO.

But the deeper motivation came from my colleagues who stood by me through tough times. They deserved to be rewarded. If the IPO succeeds, it will benefit those employees who have remained loyal through the most turbulent phases. And personally, before my father passed away, he asked me, “What’s next?” He told me that since the business was stable, I should take it to the next level — do an IPO. That was an emotional nudge, but the core reasons remain the first two I mentioned.

SOM: How does it feel to be transitioning from a private limited company to a public limited company?

Sudhanva: Personally, I feel proud. I’m 62 and I’ve been through every phase of this journey — the highs, the lows, everything. Someday, maybe 15 years from now, I’ll have memorable stories to look back on. Right now, it feels a bit surreal. But it is undoubtedly a proud moment for me, my family and more importantly, my team. Without our core team — the people who worked tirelessly — all this would have remained just a dream.

SOM: Now that you have gone public, how will it help company’s growth?

Sudhanva: So far, our customers have largely been international — in UK, USA, Middle East, Europe, Singapore, the Far East and so on. This phase was about acquiring marquee customers and well-known brands in each of these regions, ensuring strong margins in the early years. Going forward, we need to replicate that success and that requires two major steps. First, we must have a physical presence in countries where our customers operate. Relationship management, solutioning and support must happen in the same time zone and geographical proximity. Without that investment, the probability of scaling each customer account is lower because, currently, we have to travel from India each time.

Second, AI is reshaping the technology landscape. We have already invested, using internal accruals, in a full-stack AI facility in Mysuru — from hardware to Virtual Large Language Models (vLLMs), open-source LLMs and multiple other models tuned specifically for intelligent, personalised learning and for global testing and examination workflows. Our competitors are racing to stay ahead in AI and we cannot afford to fall behind. To remain competitive, we must continuously upgrade our digital infrastructure, tools and capabilities to match global standards.

Lastly, we are running out of space. In Mysuru, we currently operate out of four different locations. We now have an opportunity to buy the adjoining land, for which we have paid 50% advance and completed registration. Once the transaction is finalised, we will begin construction. At present, because of the space crunch, teams rotate between two-and three-day work schedules. The expansion will remove that constraint. Essentially, the IPO proceeds will fuel all these growth needs.

SOM: Tech firms face risks related to sales, policies and regulatory environments depending on where they operate. How is Excelsoft planning to mitigate these risks to assure shareholders of stability?

Sudhanva: We have incorporated wholly owned subsidiaries in key markets — the US, UK, Middle East, Singapore and Malaysia. These subsidiaries hire local talent; we no longer send employees on work visas or inter-company transfers. Culturally, this works better because local hires understand the ecosystem, can build relationships faster and can manage customers more effectively. Earlier, we had to travel from India for everything. Now, with local subsidiaries and local hiring, we avoid visa complications, tariff barriers and similar constraints. This is how we de-risk the business.

SOM: Going by how difficult it has become to find jobs today, are you looking at creating global employment opportunities by going public?

Sudhanva: Definitely yes. Being in Mysuru, retention was traditionally low. But now, thanks to the Mysuru-Bengaluru highway and other factors, commuting has become much easier. Of course, one still has to navigate Bengaluru’s traffic, but more talent is choosing to settle in places like Mandya, where buying or renting homes is more affordable. From there, commuting to Mysuru is convenient.

This gives us access to high-quality talent and to accommodate that, we need more space and growth. Once we are listed and with the customer pipeline we have, I believe our organisation will grow multifold.

SOM: How much is the company aiming to raise by going public?

Sudhanva: In the first round, all funds raised go directly to the company. I am not doing any personal Offer for Sale (OFS). As outlined in the Red Herring Prospectus (RHP), we aim to raise around Rs. 500 crore, plus a Qualified Institutional Placement (QIP) of a similar amount.

SOM: Being a private limited company gave you freedom in decision-making. Now, after going public, how are you preparing for this shift?

Sudhanva: You are absolutely right. Earlier, the culture was such that whatever I said would get done. Now, we operate within a more structured system. We transitioned from a private limited to a limited company several months ago and formed a Board with independent Directors — more independents than shareholder Directors. These independent Directors were carefully chosen for their expertise in areas crucial to us.

For the last three months, we have been understanding and recalibrating our internal processes — what needs committee approval, what goes to the Board and how decisions must flow. These systems are now well established. We also built a full-fledged compliance team, which we began hiring for six months ago and I work closely with them to ensure all compliances are met.

It is not easy to move from the mindset of a private limited company’s CEO or MD to that of a public limited company. But thanks to guidance from friends and mentors who have undergone this transition, we have put robust processes in place. I’m confident the system will function smoothly.