AI Stock Alert: Prime Focus-Backed Startup Raises USD 150 Million At USD 2 Billion Valuation

Prime Focus-backed Brahma AI has raised USD 150 million through an equity issuance led by Multiples at a USD 2 billion post-money valuation, separating the AI platform’s growth funding from the group’s established visual-effects and animation operations.

The company has also received a further USD 100 million of investor demand and will assess whether to increase the size of the funding round. The proposed transaction remains subject to customary approvals.

At the announced valuation, the USD 150 million funding represents about 7.5 per cent of Brahma AI’s post-money equity value. Prime Focus said it will remain Brahma AI’s largest economic shareholder, retaining around 66 per cent economic ownership through subsidiary DNEG after dilution from the fundraise, employee stock-option pool and founder equity holding.

The funding is intended to provide Brahma AI with capital and operational independence to accelerate product development and commercialisation outside its traditional media and entertainment base. The company is targeting audiovisual-content applications across media and entertainment, sports, healthcare and advertising, with offerings spanning enterprise content intelligence, visual AI and digital humans.

Brahma AI counts Warner Bros, the NBA and Mayo Clinic among its customers and has strategic relationships with Google, Hakuhodo and DNEG. Its planned launch of interactive digital humans and its stated model-agnostic approach indicate an effort to broaden the platform’s commercial applications beyond visual-effects workflows.

Namit Malhotra, Founder and Chief Executive Officer of Prime Focus, said the group now has two growth engines, with DNEG focused on premium visual effects and animation, while Brahma AI offers exposure to an enterprise AI technology platform serving markets beyond conventional entertainment.

The transaction also formalises a strategic distinction within the Prime Focus group. DNEG remains the creative-services business, while Brahma AI is being positioned as an independently governed technology company led by founder and Chief Executive Officer Prabhu Narasimhan, with its own board and management structure.

Narasimhan said the company intends to invest in its Bay Area presence and significantly expand its global go-to-market organisation. ‘Our ambition is much bigger: to build the AI-native technology platform through which the world's leading enterprises manage, understand, create and transform their audiovisual assets,’ he said.

For Prime Focus, the fundraise comes after a recovery in its consolidated financial performance in FY2025-26. Revenue from operations rose 29.9 per cent year-on-year to Rs 4,675.81 crore, while profit attributable to owners stood at Rs 218.74 crore compared with a loss of Rs 377.11 crore in FY2024-25. However, Brahma AI’s expansion will still need to demonstrate commercial scale in markets where product cycles move quickly and technology obsolescence is a material risk.

Prime Focus had earlier disclosed that its technology portfolio faced impairment in FY2024-25 after older Clear Software modules became obsolete amid newer AI-integrated offerings. That history underlines why fresh capital for product development and enterprise sales expansion may be important for Brahma AI’s positioning.

As of 9:47 a.m. on September 23, 2026, Prime Focus shares were trading at Rs 345.10, down 3.47 per cent from the previous close. The stock has gained 89.25 per cent over the preceding year, compared with a 3.73 per cent decline in the BSE 500 over the same period.

The final size of Brahma AI’s capital raise, and the pace at which it converts its technology partnerships and enterprise relationships into broader revenue streams, will be key developments to watch after the transaction closes.

Disclaimer: The article is for informational purposes only and not investment advice.