TAC Security gears up for India's first cybersecurity IPO
Backed by renowned investor Vijay Kedia, cybersecurity firm Tac Security is all set to launch its Rs. 29.99 crore initial public offering on March 27. This could mark the debut of the first dedicated cybersecurity company on the Indian stock exchanges. The IPO will exclusively comprise a fresh issue of 28.3 lakh shares, priced between Rs. 100-106 per stock. The bidding window is slated to close on April 2.
Post-IPO ownership structure
Post-IPO, Tac Security's founder Trishneet Arora will continue to hold a controlling stake of 54.02% in the company. Investor Vijay Kedia will possess a 10.95% stake, while his son Ankit Kedia will own 3.65% shares. Other shareholders include Charanjit Singh and Subinder Jeet Singh Khurana, who will have stakes of 2.92% and 1.46% respectively.
IPO funds to propel growth and product innovation
Tac Security's shares are scheduled for listing on the NSE SME platform, with the anchor portion opening on March 26. The net proceeds from the IPO will be channeled into human resources and product innovation to fuel domestic growth. Additionally, funds will be allocated to Tac Security INC, Delaware, US, to recruit a skilled workforce for expansion beyond India's borders. The remaining capital will be earmarked for general corporate needs.
Insight into revenue and clientele
Tac Security's revenue is largely dependent on a limited number of clients, with one customer contributing to 82.55% of its revenue and the top five customers accounting for 91.65% as of September 2023. The company posted a total revenue of Rs. 5.02 crore in the first half of FY24, and a profit after tax (PAT) of Rs. 1.94 crore. In FY23, its PAT was Rs. 5.07 crore on a revenue of Rs. 10 crore.
