India’s First in Cybersecurity, Tac’s IPO, to Open on March 27

Tac security, India's first cybersecurity IPO, will open for business on March 27

Renowned investor Vijay Kedia-backed Tac Security IPO is gearing up to launch its Rs 29.99-crore, commencing bids on March 27. If successful, this milestone will mark the debut of India's first cybersecurity IPO to be publicly listed on Indian stock exchanges.

Following the IPO, founder Trishneet Arora is poised to retain a 54.02 percent ownership in the company, with Kedia holding 10.95 percent and his son Ankit with 3.65 percent. Charanjit Singh and Subinder Jeet Singh Khurana will possess stakes of 2.92 percent and 1.46 percent, respectively.

The initial public offerings will consist entirely of a fresh issue comprising 28.3 lakh shares. Priced in the range of Rs 100-106 per share, the bidding for this issue will conclude on April 2. The anchor segment is scheduled to open on March 26, with the shares slated for listing on the NSE SME platform.

The company intends to utilize the net proceeds generated from the cybersecurity IPO to bolster investments in human resources and product development, facilitating organic growth within India. Additionally, funds will be allocated towards Tac Security INC in Delaware, USA, to recruit skilled professionals for expanding organic growth beyond India. The remaining capital will be earmarked for general corporate purposes.

With a significant reliance on a limited number of clients for sales, the company derives 82.55 percent of its revenue from a single customer and 91.65 percent from its top five customers, as of September 2023. In the first half of FY24, the company recorded a total revenue of Rs 5.02 crore and a profit after tax (PAT) of Rs 1.94 crore. For FY23, the PAT amounted to Rs 5.07 crore on a revenue of Rs 10 crore.

Beeline Capital Advisors serves as the book-running lead manager, while Skyline Financial Services acts as the registrar for the issue. Trishneet Arora and Charanjit Singh are the company's promoters.

Specializing in risk-based vulnerability management, assessment solutions, cybersecurity quantification, and penetration testing services, Tac Infosec caters to organizations of varying sizes and scopes, both domestically and internationally, through the Software as a Service (SaaS) model.