Safecure Services
- Safecure Services is coming out with an initial public offering (IPO) of 30,00,000 equity shares of face value of Rs 10 each for cash at a fixed price of Rs 102 per equity share.
- The issue will open on October 29, 2025 and will close on October 31, 2025.
- The shares will be listed on SME Platform of BSE.
- The share is priced at 10.20 times higher to its face value of Rs 10.
- Book running lead manager to the issue is Sun Capital Advisory Services.
- Compliance Officer for the issue is Harshita Singhal.
Profile of the company
Safecure Services is primarily engaged in providing services relating to private security, e-surveillance, facility management and also corporate interior fit outs work in India. The company, through its wholly owned Subsidiary, Safesense Tech Private Limited, provides e-surveillance services such as distinctive monitored intrusion alarm system and services (i.e. central intrusion detection and prevention services) in India. It provides services of real-time monitoring specially for ATMs and Bank Branches (i.e. site monitored 24/7 in real-time by its e-surveillance professionals to raise alerts the moment they detect any criminal or suspicious or abnormal activity).
Over the last decade, the company has grown in numbers as well as widening its spectrum of services. Presently, the company, through its team of trained employees, is providing its services to its esteemed clientele across various locations in India engaged in different sectors such as private and public sector, financial institutions, multinational corporations, and other industries.
Its diverse portfolio of services comprises of (i) Security Services comprising of manned guarding, event management, ATM management and providing technology backed security services; (ii) E-Surveillance and monitoring of ATM & Bank Branches comprising electronic security services and alarm monitoring and response services, including electronic security and surveillance solutions with trained manpower; (iii) repair & maintenance of ATMs and Facility Management Services comprising of housekeeping services and business support services; and (iv) Interior Fit outs Work for corporate. The company’s extensive portfolio of services offering enables it to grow its customer relationships and scope of engagements and serve as a single point of contact for multiple services.
Proceed is being used for:
- Repayment / pre-payment, in full or part, of certain borrowings availed by the company
- Repayment / pre-payment, in full or part, of certain borrowings availed by its wholly owned subsidiary (by providing loans and advances by the company)
- Part funding working capital requirement of the company
- General corporate purpose
Industry Overview
In recent years, the Indian safety and security industry has experienced steady growth, with some segments estimated to be growing 15 to 20 percent annually. Population growth, urbanization, industrialization, and expansion of infrastructure and mass transportation systems are all driving expectations for greater safety and security measures, particularly linked to critical national infrastructure projects. The security systems market in India is broadly classified into the following subsectors: cybersecurity; electronic security; fire safety, detection, and prevention; road safety; private and industrial security; and personal protective apparel and equipment. The industry is highly fragmented and consists of local manufacturers, system integrators, sub-contractors, regulatory and certification agencies, distributors, consultants, and service providers.
The India Physical Security market is on the rise due to growing concerns over safety and security in various sectors, including government, corporate, and residential. This market comprises of solutions such as access control, surveillance systems, and perimeter security. There is an increasing need to safeguard assets and people. The public and private organizations are investing in advanced physical security technologies, driving the growth of this market. There is a huge demand for safe city projects in India to ensure public safety. With the successful deployment of surveillance and smart city projects in several Indian cities, more areas are expected to adopt similar video surveillance systems with central control rooms equipped with high-end large video wall solutions to monitor minute details. Emerging technologies in video analytics, biometrics, face recognition, and CCTV are becoming equally important for city surveillance monitoring and analysis. Four segments: security cameras, access control devices, intrusion detection devices, and video recording devices make up this market. India’s surveillance systems market is currently estimated to be a $2.5 billion industry. It is largely comprised of video surveillance and is expected to grow at 25-30% annually.
Surveillance systems are in demand across all sectors. Both analog and IP-based systems provide opportunities, as it helps end users to pick and choose the most convenient system per their needs. Hybrid video surveillance solutions also provide opportunities as they are being widely used in educational institutions, airports, railway stations, and power plants. Infrastructure, banking, and financial sectors also require surveillance solutions, and these industry sectors are fueling the demand for surveillance systems and solutions. Going forward, the Asia-Pacific region is expected to have high share of the interior designing services market. In Asia Pacific (APAC), China, Japan, and India are the most important markets for interior design services. The market in this region is expected to increase at higher rate than the market in other regions. Increasing construction in developing countries, such as China and India, may contribute to the growth in the region.
Pros and strengths
Diverse portfolio of services: The company’s diverse range of services enable it to strengthen its position in the market by enabling it to grow its customer relationships and scope of engagements and serve as a single point of contact for multiple services. Its multiple service offerings allow it to derive operational efficiencies, by centralizing certain key functions at its end such as finance, sales, relationship manager and also certain other administrative functions. Given its operational experience, the company has developed in-house expertise to handle all stages of deployment and management of private security, facility management services and other services and it can cater to the varying requirements of its customers, which has enabled it to grow and instill its customers with confidence in its ability to address their diverse and dynamic business needs.
Advanced technological integration: The company leverages advanced technology and customized solutions to meet the specific needs of its diverse client base. Its offerings range from e-security and surveillance, manned guarding and event security management to sophisticated systems integration and technical design and planning. These services are tailored to support its clients' businesses effectively, enhancing their operational efficiency and security.
Pan India presence: The company is having its headquarter in Mira Road, Thane and have a widespread network consisting of offices in many cities and towns in India, through which it covers many districts. Its widespread network of offices results in greater focus on, and attention to its customers as well as higher quality and customized service delivery. At the same time, its wide presence enables it to offer services to customers who prefer a single service provider for their operations at multiple locations. Further, through its extensive branch infrastructure, the company has developed economies of scale, which allow it to provide efficient and cost-effective solutions to its customers.
Risks and concerns
Maximum revenue comes from limited customers: The company’s business derives a significant portion of its revenue from a few customers. For the period ended June 30, 2025 and the Fiscal 2025, Fiscal 2024, and Fiscal 2023, its top ten customers contributed 66.15%, 57.30%, 57.83%, and 74.00% of its revenues from its operations, respectively. Any reduction in growth or a slow-down in the business of its customers could result in a reduction of their requirement for its services, and result in a significant decrease in the revenues it derives from these customers. The loss of one or more of its significant customers or a reduction in the amount of business it obtains from them could have an adverse effect on its business and thus its results of operations, financial condition and cash flows.
Sufficient working capital requirement: The company’s working capital requirement was Rs 2,557.72 lakh, Rs 1,637.45 lakh and Rs 1,054.04 lakh for the Fiscal 2025, Fiscal 2024, and Fiscal 2023, respectively. The working capital requirement for the Financial Years 2026 and 2027 is estimated to be Rs 2,012.32 lakh and Rs 2,244.82 lakh, respectively. A significant portion of its working capital is utilized towards Trade Receivable. The company operates in a working capital-intensive industry therefore its business demands substantial funds towards working capital requirements. In case there are insufficient cash flows to meet its working capital requirement or it is unable to arrange the same from other sources or there are delays in disbursement of arranged funds, or it is unable to procure funds on favourable terms, at a future date, it may result into its inability to finance its working capital needs on a timely basis which may have an adverse effect on its operations, profitability and growth prospects.
Dependent on its vendors for the supply of equipment and products: The company does not have any manufacturing facilities and procures products and equipment, such as safety equipment, electronic security equipment for e-surveillance services and repair and maintenance of ATMs, chemicals and consumables for facility management services, from various vendors for the services and solutions that it offers. The company is therefore dependent on third parties for the manufacture of such products and equipment, and maintenance of adequate inventory to ensure that it is able to procure such products and equipment based on supply necessities. Further, upward fluctuations in the prices of such materials may thereby affect its margins and profitability, resulting in a material adverse effect on its business, cash flows, financial condition and results of operations.
Outlook
Safecure Services is engaged in the business of prominent security and facility management. The company specializes in private security, e-surveillance, facility management, and corporate interior fit-out services across India. The company has diverse customer base with Pan India presence. On the concern side, the company’s business derives a significant portion of its revenue from a few customers. Any loss of one or more such customers, the deterioration of their financial condition or prospects, or a reduction in their demand for its services could adversely affect its business, results of operations, financial condition and cash flows. Moreover, the company derived major portion of its total revenue from the security services business. Any decrease in the demand for its security services may have an adverse impact on its business, financial condition and result of operations.
The company is coming out with an IPO of 30,00,000 equity shares of face value of Rs 10 each for cash at a fixed price of Rs 102 per equity share to mobilize Rs 30.60 crore. On performance front, the company's revenue from operations had increased by 16.34%, from Rs 6283.47 lakh in Fiscal 2024 to Rs 7310.15 lakh in Fiscal 2025. Moreover, the company’s profit after tax had increased by 8.29%, from Rs 568.76 lakh in Fiscal 2024 to Rs 615.89 lakh in Fiscal 2025.
The company intends to grow its businesses, leveraging on the growth of private business entities due to investments in infrastructure, manufacturing and services sector. Further, it intends to grow due to demand of its services from Government organizations and from households due to an increase in the disposable income available with the Indian middle class. It intends to grow its presence with Government organizations leveraging on Government outsourcing initiatives, public-private partnership ventures requiring such services, particularly in the infrastructure sector, and tenders from large governmental and public sector enterprises. Growth in the Indian economy, would result in a corresponding growth in demand for its services, due to the increase of business operation and growth in the scale of operations across geographies in India which would result in increase in demand across its nation-wide network. It also intends to grow its services of e-surveillance, security & monitoring and facility management services to households and the residential sector.
