Ideaforge Technology Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹672
Per ShareLot Size
22 Shares
Minimum Investment
₹14,784
Issue Size
₹550.69 Cr
Face Value
₹10
Per ShareIPO Type
Book Building
Retail Quota
10%
QIB Quota
75%
NII Quota
15%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Ideaforge Technology Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
27.89%
Issue Type
Book Building
ISIN
INE349Y01013
About the Company
Ideaforge Technology Limited is the pioneer and the pre-eminent market leader in the Indian unmanned aircraft systems ("UAS") market, with a market share of approximately 50% in Fiscal 2022. Its product portfolio consists of (a) hardware, which primarily includes UAVs, payloads, batteries, chargers and communication system, (b) software and embedded sub-systems, which includes the GCS software and autopilot sub-system, and (c) solutions. The Company primarily caters to customers with applications for surveillance, mapping and surveying. The Company manufactures all its products in-house from its manufacturing facility located at Navi Mumbai, Maharashtra in India.
Industry Overview
The global drone industry is estimated to be US$ 21.1 billion in 2022. The industry has witnessed a significant growth at a CAGR of 19% over 2018-2022 and is expected to grow even faster at a CAGR of 20% to be approximately US$ 51.4 billion in 2027 and further leap to approximately US$ 91.3 billion by 2030. As of 2022, the potential market size for the Indian drone industry was approximately US$ 2.71 billion. India aims to position itself as a global drone hub by 2030
Company History
The Company was incorporated as "ideaForge Technology Private Limited" on February 8, 2007, as a private limited company under the Companies Act, 1956, pursuant to a certificate of incorporation dated February 8, 2007, issued by the Registrar of Companies, Maharashtra at Mumbai (the "RoC"). Upon the conversion of the Company into a public limited company, pursuant to a resolution passed by its Shareholders on December 20, 2022, the name of our Company was changed to "ideaForge Technology Limited" and a fresh certificate of incorporation dated January 2, 2023 was issued by the RoC.
Products & Services
- The Company is the pioneer and the pre-eminent market leader in the Indian unmanned aircraft systems ("UAS") market.
Growth Strategy
- Continue to invest in product innovation, engineering and design
- Expanding into international markets
- Expand its product portfolio and cater to new end-use applications and industries
- Focus on indigenisation
- Pursue strategic investment and acquisition opportunities
Customer Base
Wholesalers and Retailers
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a consolidated basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offering of 8,441,764 equity shares of face value of Rs. 10 each ("Equity Shares") of Ideaforge Technology Limited (The "Company" or the "Issuer") for cash at a price of Rs. 672 per equity share including a share premium of Rs. 662 per equity share (the "Offer Price") aggregating to Rs. 567.25 crores (the "Offer"). The offer comprises of a fresh issue of 3,572,052 equity shares by the company aggregating to Rs. 240.00 crores (the "Fresh Issue") and an offer for sale of 4,869,712 equity shares (the "Offered Shares") aggregating to Rs. 327.25 crores (the "Offer for Sale"), comprising of 158,200 equity shares aggregating to Rs. 10.63 crores by Ashish Bhat ("Promoter Selling Shareholder"), 8,362 equity shares aggregating to Rs. 0.56 crores by Amarpreet Singh, 22,600 equity shares aggregating to Rs. 1.52 crores by Nambirajan Seshadri, 22,600 equity shares aggregating to Rs. 1.52 crores by Naresh Malhotra, 203,400 equity shares aggregating to Rs. 13.67 crores by Sujata Vemuri, 51,980 equity shares aggregating to Rs. 3.49 crores by Sundararajan K Pandalgudi, (the "Individual Selling Shareholders"), 135,600 equity shares aggregating to Rs. 9.11 crores by A&E Investment llc, 53,200 equity shares aggregating to Rs. 3.58 crores by Agarwal Trademart Private Limited, 1,106,722 equity shares aggregating to Rs. 74.37 crores by Celesta Capital ii Mauritius, 131,758 equity shares aggregating to Rs. 8.85 crores by Celesta Capital ii-b Mauritius, 202,044 equity shares aggregating to Rs. 13.58 crores by Export and Import Bank of India, 1,695,000 equity shares aggregating to Rs. 113.90 crores by Indusage Technology Venture Fund i, 1,055,646 equity shares aggregating to Rs. 70.94 crores by Qualcomm Asia Pacific Pte. Ltd. And 22,600 equity shares aggregating to Rs. 1.52 crores by Society for Innovation and Entrepreneurship (collectively referred to as the "Corporate Selling Shareholders" and together with the promoter selling shareholder and the individual selling shareholders, referred to as the "Selling Shareholders"). The offer included a reservation of 13,112 equity shares, aggregating to Rs. 0.84 crores (constituting 0.03% of the post offer paid-up equity share capital of the company, for subscription by eligible employees (the "Employee Reservation Portion"). The offer less the employee reservation portion is hereinafter referred to as the "Net Offer". The offer and the net offer constitute 20.26% and 20.23%, respectively, of the post-offer paid-up equity share capital of the company. The company, indusage and celesta capital, in consultation with the book running lead managers ("brlms"), offered a discount of 4.76% on the offer price to eligible employees bidding in the employee reservation portion ("Employee Discount"). The company, in consultation with the book running lead managers, has undertaken a pre-ipo placement of 892,857 equity shares aggregating to Rs. 60.00 crores. The size of the fresh issue of Rs. 300.00 crores was reduced by Rs. 60.00 crores pursuant to the pre-ipo placement and accordingly, the size of the fresh issue is Rs. 240.00 crores.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- pioneer and the pre-eminent market leader in the Indian UAS industry, with first-mover advantage;
- diversified product portfolio with a robust technology stack and track record of successful outcomes in critical use cases;
- strong relationships with a diverse customer base;
- significant product development capabilities powering its software and solutions and product differentiators;
- in-house design to delivery capabilities;
- The company operate in an industry which is highly regulated and is subject to change. If its fail to comply with the applicable regulations and rules prescribed by the Government of India and the relevant statutory or regulatory bodies, its business, financial condition, cash flows and results of operations will be adversely affected.
- The company is a licensed manufacturer of Unmanned Aerial Vehicles under the Industries (Development and Regulation) Act, 1951 and any non-compliance of, or a failure to satisfy the terms and conditions under such license could lead to the cancellation of its license thereby creating a material adverse impact on its business, financial condition and results of operations.
- The company is heavily reliant on sales to the Indian government including to the central and state government agencies. A decline in government budget, reduction in orders, termination of existing contracts, delay of existing contracts or any kind of adverse change in the Government of India policies for its sector would have a material adverse impact on its business, financial condition, and results of operations.
- Majority of the sale of its products are dependent on it winning bids. Bidding for a tender involves various management activities such as cost estimations and designing and developing a trial product for the bidding process. Inability to accurately measure the cost and design and develop the trial product may lead to loss of tender creating an adverse impact on its business, results of operations, financial condition and cash flows.
- The number of orders the company has received in the past, its current order book and its growth rate may not be indicative of the number of orders the company will receive in future.