Aditya Infotech Raises ₹582 Crore from Anchor Investors Ahead of ₹1,300 Crore IPO

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Aditya Infotech, the company behind the CP Plus brand of surveillance and security solutions, has mobilized ₹582 crore from 54 anchor investors ahead of its upcoming initial public offering (IPO). The funds were raised at ₹675 per share, which is the upper end of the IPO price band set between ₹640 and ₹675.

The IPO is set to open on July 29 and close on July 31. It consists of a fresh issue of equity shares worth ₹500 crore and an offer-for-sale of ₹800 crore by the promoters. A major portion of the fresh issue, approximately ₹375 crore, will be used to repay existing debt. As of March 2024, the company’s outstanding borrowings stood at around ₹405 crore. The remaining proceeds will go towards general corporate purposes.

The anchor investor list features several prominent institutional players, including the Government of Singapore, Monetary Authority of Singapore, Abu Dhabi Investment Authority, Goldman Sachs, Nomura, HDFC Mutual Fund, SBI Mutual Fund, and Allianz Global Investors. Their participation underscores strong market confidence in Aditya Infotech’s business model and growth prospects.

Allocation of shares for the IPO will be divided as follows: up to 75 percent for qualified institutional buyers (QIBs), 15 percent for non-institutional investors, and 10 percent for retail investors. ICICI Securities and IIFL Capital are acting as the lead book-running managers for the public issue.

With a robust distribution network and a dominant position in the organized security and surveillance market in India, Aditya Infotech has generated notable investor interest. The company has reportedly been commanding a grey market premium of about 30 percent, indicating strong demand ahead of its stock market debut.

The IPO is expected to be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) by early August. The listing will mark a significant step in the company’s efforts to scale operations, strengthen its financial position, and enhance its visibility in the capital markets.