Ideaforge Technology
listed
₹14,036Min. investment
About Ideaforge Technology
Issue size
₹567Cr
IPO type
Mainboard
Price range
₹638 – ₹672
Lot size
22 shares
RHP/DRHP
Read
Price range₹638 – ₹672
IPO type
Regular
Lot size22 shares
Issue size₹567Cr
RHP/DRHP
Read
Checklist
Risk analysis
Debt to Equity ratio
Promoter holdings
Shares pledged
The investment checklist helps you understand a company's financial
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About Ideaforge Technology IPO
Founded in 2007 by Ankit Mehta, Rahul Singh and Ashish Bhat, Ideaforge Technology Limited is a pioneer in the UAS or Unmanned Aircraft Systems market of India. It offers ‘drone as a service’ (DraaS) and enjoys a market share of nearly 50% in FY22. DraaS is a ready-to-fly network of drones which allows users to schedule or request on-demand flights, without the hassle of owning hardware, software or trained manpower.
Ideaforge Technology product portfolio includes hardware like drones along with their payloads, batteries, chargers and communication system. It also offers softwares and embedded subsystems along with solutions for industry/application specific softwares.
The company caters to customers with applications for surveillance, mapping and surveying. Its customers include Indian defence, state and central police forces, disaster management departments, private players like C.E. Info Systems, Pioneer Foundation Engineers.
Ideaforge Technology primarily participates in competitive bidding processes, secures contracts from clients and offers DraaS services on ‘pay per use’ basis. Its revenue from operations grew at a CAGR of over 75% between FY21 to FY23.
As per company, drone technology is a sunrise sector. The Indian drone market is projected to grow at a CAGR of 80% between FY22 to FY27 to $ 812 million. The company’s manufacturing facility is situated in Navi Mumbai, Maharashtra covering an area of approximately 21000 sq. ft. As of May 31, 2022, it had about 100 channel partners and three national distributors.
And now, IdeaForge Technology is coming out with its initial public offer (IPO). The IPO will be a combination of an offer for sale as well as a fresh issue. The net proceeds will be used for repayment of existing debt, investment in product development and for general corporate purposes.
Here are key details about the Ideaforge Technology IPO:
| Company Name | Ideaforge Technology Limited | Company Type | Private | |
|---|---|---|---|---|
| Founder's Name | Ankit Mehta, Rahul Singh and Ashish BhatIdeaforge Technology IPO Price band | ₹ 638 -₹ 672 |
Financial snapshot
| Particulars | FY 21 | FY 22 | FY 23 |
|---|---|---|---|
| Revenue | ₹ 34.7 crore | ₹ 159.4 crore | ₹ 186.0 crore |
| Net Profit | ₹ -14.6 crore | ₹ 44 crore | ₹ 31.9 crore |
---|
A quick look at Ideaforge Technology IPO’s strengths, risks and threats
Strengths ****
- The company enjoys first mover advantage as it was among the first few companies in India to enter the UAV market and the first organisation to indigenously develop and manufacture VTOL UAVs in India in 2009.
- A diverse product portfolio with feature-based differentiation such as weight class, endurance class, take-off altitude range, communication range (approximately 2-15 km), payload types, etc.
- It is one of the few vendors globally to have a full stack UAV solution, along with a ground control software, firmware and solutions along with after sales support.
- The company has served 265 customers as of May 31, 2022, 35% of which are repeat customers. Meanwhile, its total order book stands at ₹192.7 crore as on 31 March 2023.
- Between FY21 to FY23, the company’s EBITDA has grown from ₹(-9.2) crore to ₹ 57 crore.
Risks and threats
- Operates in a highly regulated industry which is subject to change and its products need a certification from the Directorate General of Civil Aviation.
- Derives a significant portion of its revenue from Government of India entities amassing to 94%, 98% and 96% in FY21, FY22 and FY23 respectively.
- Majority of its sale depends on its ability to qualify for and win bids undertaken by the GoI entities for awarding contracts.
- Highly dependent on global vendors and imports and may not be able to reduce dependency on such imports. In FY23, the company spent ₹47.7 crore on imports. If critical components are unavailable it may lead to manufacturing delays.
- Business is dependent on a single manufacturing facility in Navi Mumbai, Maharashtra. Any slowdown or shutdown in manufacturing operations could lead to adverse effect on business.
Ideaforge Technology IPO details
**** Ideaforge Technology IPO date
The company has filed its Draft Red Herring Prospectus with the market regulator SEBI. The offer document filed by the company with the SEBI mentions that the Ideaforge Technology IPO’s opening date – in other words, the Ideaforge Technology IPO launch date – will be 26th June 2023. The Ideaforge Technology IPO closing date is 29th June 2023. After this, investors will be updated about the allotment status on 4th July 2023.
Investors, who have been allotted shares, can expect them to be credited to their demat account on 6 July 2023. The Ideaforge Technology IPO listing date is 7 July 2023. The listing date is the date on which the shares of a company get listed on the bourses – NSE and BSE.
**** Ideaforge Technology IPO Price Band
The entire IPO is a book-built issue. The Ideaforge Technology IPO price band has been set between ₹638 and ₹672 per share. Interested investors can choose a price within this band to apply for the IPO.
The Ideaforge Technology IPO listing price will be determined on 7th July 2023. The listing price is the price at which a company’s shares debut on the stock exchanges.
**** Ideaforge Technology IPO Lot size
The Ideaforge Technology IPO details have been declared. The Ideaforge Technology IPO lot size is set at 22 shares and an investor can apply for a minimum of 1 lot. Meanwhile, the Ideaforge Technology IPO issue size is approx ₹567 crore.
How to apply for the Ideaforge Technology IPO?
If you are interested in this investment opportunity but unsure how to apply for the Ideaforge Technology IPO, here are the steps that you need to follow.
When the public issue opens for subscription, one can follow this step-by-step guide on how to apply for the Ideaforge Technology IPO on Upstox:
- Login to your Upstox account, using your six-digit PIN
- After successfully logging in, click on ‘Discover’
- On the Discover tab, you will find the ‘Invest in IPO’ section
- Under the Invest in IPO section, look for the ‘Ideaforge Technology IPO’ tab and click on it
- Now fill in all the required information, like ‘bid price’ and ‘lot size’
- Confirm and click on ‘Apply’
- Accept the mandate on your UPI app
How to check the Ideaforge Technology IPO allotment status?
When the allotment process is completed, you can check the status of your application on the Upstox app. Share allotment is generally done around five to six days after an IPO closes.
Here’s a step-by-step guide on how to check the Ideaforge Technology IPO allotment status:
- Login to your Upstox account, using your six-digit PIN
- After successfully logging in, click on ‘Discover’
- On the Discover page, you will find the ‘Invest in IPO’ section
- Under the Invest in IPO section, you will find the ‘View all’ option
- Once you click on ‘View all’, you will be directed to the ‘IPO’ tab
- In the ‘IPO’ tab, click on ‘My applications’
- In ‘My applications’, under the History section, your your Ideaforge Technologys IPO allotment status will be mentioned
Open a demat account with Upstox to apply for the Ideaforge Technology IPO
To apply for the Ideaforge Technology IPO, you need to mandatorily have a demat account. A demat account helps you hold the shares you buy in a dematerialised format. If you don’t have a demat account yet, you can open one with Upstox by visiting our website or by downloading the app.
Here is a step-by-step guide on how to open a demat account with Upstox:
- Click here to visit the demat account opening page on the Upstox website.
- Enter your phone number and other essential details to begin opening a demat account.
- Upload the scanned copies of your PAN, Aadhaar card, a cancelled cheque, and your bank statement as needed.
- Complete the e-verification using the OTP sent to your registered mobile number.
This is all it takes to open a demat account with Upstox. Easy and quick, right?
Upstox – trading app to apply for the Ideaforge Technology IPO
Applying for IPOs with Upstox is extremely easy. The user-friendly interface and top-notch security make Upstox one of the leading trading apps in India.
You can apply for the Ideaforge Technology IPO on Upstox, provided you have a demat account. As mentioned in the previous section, you can simply follow the steps to open a demat account with Upstox. The biggest advantage is that when you apply for an IPO using your Upstox account, the brokerage charges are zero.
In fact, due to its robust features and minimal charges, Upstox is among the most preferred trading apps. Lakhs of Indians trust Upstox as it is a reliable trading platform that makes IPO applications easy.
Frequently asked questions
How to invest in the IPO?
Investors can apply for the IPO through their Demat account via the stock exchange or through their broker.
What is the issue size of Ideaforge Technology ?
The issue size of the Ideaforge Technology is 567 Cr.
What is 'pre-apply' for Ideaforge Technology ?
Pre-applying for an IPO allows you to submit your application before the official subscription period begins.
Which exchanges will Ideaforge Technology shares list on?
The IPO shares will typically list on major stock exchanges such as the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), as specified in the IPO prospectus.
Timeline
- Bidding starts26 Jun 2023
- Bidding ends30 Jun 2023
- Allotment finalisation28 Jun 2023
- Release of funds6 Jul 2023
- Demat transfer5 Jul 2023
- Listing7 Jul 2023