Armour Security (India)
- Armour Security (India) is coming out with an initial public offering (IPO) of 46,50,000 shares in a price band of Rs 55-57 per equity share.
- The issue will open on January 14, 2026 and will close on January 19, 2026.
- The shares will be listed on SME Platform of NSE.
- The face value of the share is Rs 10 and is priced 5.50 times of its face value on the lower side and 5.70 times on the higher side.
- Book running lead manager to the issue is Sobhagya Capital Options.
- Compliance Officer for the issue is Shakshi Mishra.
Profile of the company
Armour Security (India), headquartered in New Delhi is engaged in providing comprehensive and customized Security services, Facility Management services, and Recruitment and Staffing solutions across India. Founded in 1999, the company has established itself as a service provider with over two decades of operational experience in delivering private security, housekeeping, fire-fighting, and security training solutions. The company’s offerings are designed through detailed on-site assessments and consultations to address the operational, safety, and regulatory requirements of each client.
It also specialises in providing ancillary services like event support and branding content creation, suggesting a diversified, consultancy-oriented approach. It has over twenty-five years of experience in delivering security, facility management, and staffing solutions. Its solutions streamline operations, improve deployment efficiency, and strengthen compliance outcomes. Additionally, it offers consulting and advisory services and provide self-service technologies that enable government organisations and corporate clients to migrate, automate, and manage customer-facing business processes through self-service channels. Currently, the company has a presence in over 12 states, including Delhi, Haryana, Uttar Pradesh, Maharashtra, Gujarat and Rajasthan.
It primarily caters to government departments, public sector undertakings (PSUs), development agencies, and private enterprises across India by providing security, facility management, and staffing solutions tailored to their operational, regulatory, and safety requirements. The company provides a comprehensive suite of services including security, housekeeping, integrated facility management, and manpower solutions. This diversity enables it to serve clients across commercial, industrial, residential, healthcare, education, and government sectors. By offering multiple services under one platform, the company is able to meet varied operational requirements of clients efficiently. This integrated approach enhances client retention and positions the company as a one-stop solution provider.
Proceed is being used for:
- Funding of working capital requirements of the company
- Funding capital expenditure requirements for purchasing of machinery, equipments and vehicles
- Pre-payment/re-payment of, in part or full, certain outstanding borrowings of the company
- General corporate purpose
Industry Overview
The Indian private security market is expanding at rapid pace, expected to have an annual growth rate of 9.93%. While some major players need to comply with the Private Securities Agencies Regulation Act 2005 or the Payment of Wages Act, 1936, 65% of the market is comprised of smaller, unorganized agencies. The private security sector in India serves as a link between the government and the industry’s needs. It is India’s largest corporate taxpayer and employs over 7 million personnel, with this number growing each year. The sector is valued at approximately INR 400 billion and is expected to grow at a compound annual growth rate (CAGR) of 20%. While it has a predominant presence in Tier-I and Tier-II cities, it operates in approximately 550 districts across the country. Furthermore, initiatives like Smart Cities, “Make in India,” and “Digital India,” along with the retail boom and increasing urbanization, will necessitate significant changes in the way the industry currently operates.
Meanwhile, Recruitment and staffing services refers to industries that deal with the process of identifying, selecting and placing employees for jobs within the organizations. Some of the activities may include role profiling, candidate pooling, interviewing, and placing individuals in organizations with the right opportunities. It comprises temporary staffing, contract placements, permanent staff recruitment as well as recruitment of executives in niche areas. Recruitment and staffing market is an important facet to the economy since they link employers to employees to ensure their needs for human capital are met seamlessly. The rising youth population, combined with a high demand for cost-effective candidate recruiting, is driving market expansion. The market is growing as more modern recruiting and staffing solutions, such as applicant tracking systems and others, are adopted for cost-effective and better hiring. The increased competitiveness in all industries, which leads to improved candidate recruiting, is propelling market expansion even further.
The facility management service market is estimated to reach a valuation of $670 billion by the year 2032, at a CAGR of 8.9% during the forecast period 2024 to 2032. Facility Management (FM) is a business function that integrates place, people, technology, and process to guarantee the physical environment's seamless functionality, comfort, safety, and efficiency. A group of upkeep services known as 'facility management services' are used by businesses and housing developments to achieve their desired goals. The rapidly expanding tourist and hospitality industries, the need to adhere to environmental and regulatory standards, and the increased demand for value-added services all contribute to the growth of the facility management services market. The goal of the facility management services is to automate the laborious and prone to error manual activities while focusing on compliance through core business expertise.
Pros and strengths
Diversified services portfolio: One of the company’s core competitive strengths lies in its diversified service portfolio. The company issues a range of services encompassing security, housekeeping, integrated facility management, and manpower solutions. This diversity allows it to cater to a wide array of client needs, ensuring that it can address various aspects of security and facility management efficiently and comprehensively.
Technology integration: The strength of the company lies in its robust technological infrastructure, which includes an Enterprise Resource Planning (ERP) system for seamless integration of core functions, optimum use of email and communication system for efficient internal and external collaboration, and the use of smartphones to facilitate real-time communication, location sharing, and group interactions and coordination among its staff. These technological assets empower it to optimize resource management, data-driven decision-making, and communication efficiency, enhancing its overall operational capabilities and client service.
Compliance and certifications: The company is dedicated to maintaining the quality standards in the industry. It is ISO certified reflecting its commitment towards the quality of its services. Additionally, it possesses licenses of PSARA (Private Securities Agencies Regulation Act) which exemplify its compliance with industry regulation practices. These certifications reinforce its credibility and signify its dedication to providing reliable services.
Risks and concerns
Customer concentration may impact revenue stability: The company’s business is significantly dependent on a limited set of customers. For FY 2025, its top 10 customers contributed 76.48% of revenues, while in FY 2024 and FY 2023 they contributed 74.45% and 76.88%, respectively. This concentration exposes it to the risk of reduced business in the event any of these customers terminate their contracts, reduce orders, or face financial or operational challenges. Loss of even one or two key customers could have a material adverse impact on its revenues and profitability.
Concentration of business operations in select regions: The company’s revenues are significantly concentrated across a limited number of customers and geographies, which exposes it to business and financial risks. For instance, during the six-month period ended September 30, 2025 and Fiscal 2024-25, Delhi alone contributed approximately 39.71% and 43.60%, respectively, of its total revenues, followed by Uttar Pradesh, which contributed approximately 23.91% and 22.44%, respectively. This demonstrates a significant dependence on a limited number of geographic regions.
Business dependence on successful participation in tender processes: The company’s business model heavily relies on securing clients through tender processes. If it fails to win these tenders or meet the necessary criteria, it could significantly impact on its financial performance and operational results. The competitive nature of tender processes means that there is no guarantee of success, and any failure to secure key tenders could lead to a loss of revenue and market share. Additionally, changes in tender requirements, delays in tender announcements, or increased competition could further exacerbate these risks. As a result, its dependency on tenders poses a substantial risk to its business continuity and growth prospects.
Outlook
Armour Security (India) specializes in providing a range of security services including armed guarding, manpower services, and consultancy, primarily focused on commercial and residential security needs across various sectors. The company has PAN India operations with branches in various states to navigate the ever-changing dynamics of the security market. On the concern side, the company’s top 10 customers contribute majority of its revenues, making it significantly dependent on them. Loss of any major customer or reduction in business could materially impact its revenues and profitability. Moreover, the company’s revenues are significantly concentrated across a limited number of customers and geographies, which exposes it to business and financial risks.
The company is coming out with a maiden IPO of 46,50,000 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 55-57 per equity share. The aggregate size of the offer is around Rs 25.58 crore to Rs 26.51 crore based on lower and upper price band respectively. On performance front, the company’s revenue from operations increased by 8.27%, reaching Rs 3,565.54 lakh in Fiscal Year 2025, compared to Rs 3,293.29 lakh in Fiscal Year 2024. Moreover, the company has reported 51.80% rise in net profit at Rs 397.35 lakh in FY25 as compared to Rs 261.76 lakh in FY24.
Maintaining strong and long-lasting client relationships is central to sustainable growth. The company’s CRM approach is designed to go beyond basic communication and focus on trust-building. Regular client follow-ups ensure that it is always aware of customer expectations, satisfaction levels, and emerging concerns. An organized redressal process allows it to address issues quickly and transparently, creating confidence in its responsiveness. By consistently exceeding expectations, it aims to transform satisfied clients into brand advocates, thereby generating referrals and strengthening its market reputation.
