PAN HR Solution
- PAN HR Solution is coming out with an initial public offering (IPO) of 21,84,000 shares in a price band of Rs 74-78 per equity share.
- The issue will open on February 06, 2026 and will close on February 10, 2026.
- The shares will be listed on SME Platform of BSE.
- The face value of the share is Rs 10 and is priced 7.4 times of its face value on the lower side and 7.8 times on the higher side.
- Book running lead manager to the issue is Marwadi Chandarana Intermediaries Brokers.
- Compliance Officer for the issue is Anamika Sinha Roy.
Profile of the company
PAN HR Solution operates on a B2B model and provides comprehensive manpower solutions, catering to a range of roles from unskilled to skilled blue-collar workers. It has a PAN India presence and provides human resource, staffing services and compliance solutions to customers in E-commerce, logistics, manufacturing, information technology and other sectors which enables them in streamlining the hiring process, reduces administrative burden, and ensuring suitable candidates. It offers range of services i.e. Manpower services, Payroll services, Facility management, staffing solutions, Compliance Audit and E-commerce Logistics which enables it to design and deliver a range of customized solutions suited to the specific needs of its customers, which strengthens its customer acquisition and retention capabilities. As a part of facility management services, it provides personnel for roles such as housekeeping staff, pantry boys, office assistants, and other support roles.
It currently operates under a ‘Collect and Pay’ Model, wherein the company raises invoices on its Customers/Principal Employers for services rendered in accordance with the applicable terms and subsequently receives payment. The payments are then disbursed to the employees deployed at the client place. In addition, it is in process of gradually implementing ‘Pay and Collect’ model wherein the company shall make disbursements in advance to the concerned personnel or beneficiaries followed by the raising of invoices and recovery of the corresponding amounts from the Client/Principal Employer in accordance with agreed contractual terms. As on November 30, 2025, it has 10,374 personnel (non-core employees) deployed at various locations of its customers.
Till date, it has served to around 25 customers, who are well-established and renowned companies having presence in national and regional operations. It has been awarded from its clients for providing the services. It has been recognized as ‘Best performers for city logistics in BBD’22 by Flipkart’ and ‘Award for Runners-up support partner-Grocery in BBD’23 by Flipkart’. It has also received the ISO 14001: 2015, 45001: 2018 and 9001:2015 certificate from Environmental System Management, Occupational Health and Safety Management System and Quality System Management.
Proceed is being used for:
- Funding working capital requirements of the company
- General corporate purposes
Industry Overview
The expansion of India’s services sector has been closely linked to the economic reforms of the 1990s. While the sector began to grow in the mid-1980s, it gained significant momentum after India initiated a series of structural reforms in response to a severe balance of payments crisis. Today, the services sector is not only the largest contributor to India’s GDP but also a major driver of employment, foreign investment, and exports. It encompasses a wide range of activities, including trade, hotels and restaurants, transport, storage and communication, finance, insurance, real estate, business services, community and personal services, and services associated with construction. To enhance India’s share in the global services market from 3.3% and enable multi-fold growth in GDP, the government has implemented several initiatives to strengthen commercial services exports. As a result, India’s services exports stood at around Rs 11,00,517 crore ($128 billion) in FY26 (April to July 2025), while imports were Rs 5,56,128 crore ($65 billion), highlighting India’s strong position in global trade. The services trade surplus during this period reached Rs 5,44,389 crore ($63.53 billion), up from Rs 4,65,639 crore ($54.34 billion) in FY25.
India’s services sector has steadily increased its share of Gross Value Added, rising from 50.6% in FY14 to about 55.3% in FY25, with an average growth of 8.3% since FY23. The sector also ranked first in attracting Foreign Direct Investment, according to data from the Department for Promotion of Industry and Internal Trade. India’s unique skills and competitive advantage in knowledge-based services, supported by initiatives such as Smart Cities, Clean India, and Digital India, have created a conducive environment for growth and innovation. The Confederation of Indian Industry has outlined a plan to position India as a global logistics hub, emphasizing collaboration among stakeholders to unlock opportunities across industries and regions. This initiative aims to create aspirational career paths, facilitate professional development, and cultivate leadership opportunities. Positive demand trends in the sector have driven growth in new business volumes and further job creation, with the gig economy comprising 12 million workers, over 2% of the workforce, growing at a 17% CAGR and posting a 38% YoY increase, fuelled by digital connectivity, urbanization, and flexible work preferences.
The growth of India’s services sector is being shaped by both domestic and global factors. A wide range of service industries has witnessed double-digit expansion in recent years, driven by digital technologies, innovation, and supportive institutional frameworks established by the government. The ease of doing business in India has improved significantly for both domestic and foreign firms, reflecting advancements in regulatory culture and government initiatives. Ongoing reforms, including the lowering of trade barriers, easing of FDI regulations, and deregulation, have further strengthened the sector’s growth prospects. The implementation of GST 2.0 has created a unified national market and reduced the overall tax burden on goods and services. This reform is expected to lower costs over the long term through the availability of input tax credit, ultimately contributing to more competitive pricing of services. With these structural reforms, technological adoption, and favourable policy measures, India’s services sector is poised for sustained growth, supporting the country’s broader economic development. The digital economy alone is estimated to reach $1 trillion by 2025, highlighting the transformative potential of the sector in driving employment, exports, and innovation.
Pros and strengths
Extensive workforce deployment: It manages a large number of personnel deployed across various locations nationwide. This enables consistent service delivery across different regions and supports operations in sectors like E-commerce, Manufacturing, Logistics, etc. The workforce is allocated based on client requirements, project timelines, and operational priorities. It has supervisory team who monitors the deployment of the workforce, keeps track of attendance and checks productivity & efficiency. This structure allows clients to maintain continuity, meet project targets, and respond to changing operational demands without delays or disruptions. It has deployed 10374, 9481, 9467 and 9884 personnel (non-core employees) for the period ended November 30, 2025 and Financial Year ended 2025, 2024 and 2023, respectively.
Comprehensive service portfolio: The company offers an end-to-end HR solution including recruitment, payroll management, compliance auditing, facility management, staffing solutions as a one-stop provider. Its range of offerings helps its clients achieve their business objectives and enable it to obtain additional business from existing clients and also expands its reach to a broader base of potential new clients.
Strong compliance and regulatory expertise: The company is in compliance with the statutory requirements like GST, PF, ESIC, labour laws for all its employees. This will the minimize risks and ensure the organization operates within legal boundaries. The company also commits to comply with new amendments introduced in labour laws from time to time. This approach helps to avoid legal disputes, penalties, and interruptions in service delivery, while also supports in transparency in all operations.
Risks and concerns
Reliance on major customers: Its business is dependent on its continuing relationships with its customers. It is dependent on contracts entered with its customers. It has maintained cordial relationships with its customers. Specifically, the Revenue from Top 10 Customers contributed 99.86%, 98.76%, 99.33 and 98.69% for the financial period ending November 30, 2025 and financial year ended March 31, 2025, March 31, 2024, and March 31, 2023, respectively. However, there can be no assurance that it will be successful in maintaining such relationships or increasing the number of such relationships. Its customers may reduce the volume of services or terminate all services due to any reason including those beyond its control such as their adverse business and financial conditions. Further failure to retain current customers or acquire new customers due to inability to meet customer requirements, negotiate favourable terms, or deliver services in a timely manner may result in a decline of customers and as a result, its business, prospects, results of operations and financial condition could be adversely affected in the future.
Uncertainty in contract duration, renewal, and customer demand: It typically enters into work orders/ contracts for a period ranging from one-year to three years with its customers. Within the duration of these contracts, the scope of services may vary depending upon the requirements of its customers. In an event, where such work orders/contracts are terminated or completed by its existing customers it may have to seek new customers in order to expand its business. Similarly, there is no assurance that customers availing its services will look to obtain further services from it or expand their relationship to avail its offerings. Failure to meet additional staffing requirements, changes in customer preferences, or an inability to maintain renewal rates and favorable contract terms may lead clients to engage competitors and could adversely affect its business, financial condition, cash flows, and results of operations. The loss or reduction of business from key customers, or delays in renewing contracts or acquiring new clients, may further impact its revenue and overall performance.
Impact of government regulations on business operations: Its business and industry are regulated by different laws, rules and regulations framed by the Central and State Government. These regulations can be amended/ changed on a short notice at the discretion of the Government. If it fails to comply with all applicable regulations or if the regulations governing its business or their implementation change adversely, it may incur increased costs or be subject to penalties, which could disrupt its operations and adversely affect its business and results of operations.
Outlook
PAN HR Solution operates on a B2B model and provides comprehensive manpower solutions, catering to a range of roles from unskilled to skilled blue-collar workers. It has a PAN India presence and provides human resource, staffing services and compliance solutions to customers in E-commerce, logistics, manufacturing, information technology and other sectors which enables them in streamlining the hiring process, reduces administrative burden, and ensuring suitable candidates. On the concern side, it derives a significant portion of its revenue from operations from regions like Delhi, Haryana and Uttar Pradesh. Such geographical concentration of its business in these regions increases its exposure to adverse developments arising out of competition, economic changes and demographic changes in the aforementioned states, which may adversely affect its business prospects, financial conditions and results of operations. Moreover, its business and industry are regulated by different laws, rules and regulations framed by the Central and State Government. These regulations can be amended/ changed on a short notice at the discretion of the Government. If it fails to comply with all applicable regulations or if the regulations governing its business or their implementation change adversely, it may incur increased costs or be subject to penalties, which could disrupt its operations and adversely affect its business and results of operations.
The company is coming out with a maiden IPO of 21,84,000 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 74-78 per equity share. The aggregate size of the offer is around Rs 16.16 crore to Rs 17.04 crore based on lower and upper price band respectively. On performance front, the revenue from operation for FY25 stood at Rs 28,318.88 lakh whereas in FY24 it was Rs 28,107.99 lakh representing an increase of 0.75%. Moreover, profit after tax for the period ended March 31, 2025, stood at Rs 501.58 lakh and for the year ended March 31, 2024 it was Rs 420.46 lakh representing an increase of 19.29%.
The company aims to drive organic growth by expanding its presence in new geographic regions and strengthening its footprint in existing ones. This will enable it to reach out to a larger market and have direct access to the clients which will allows it to have better understanding of their requirement. Further, it plans to expand its services portfolio by introducing the Third-Party Logistics (3PL) model. Under this model, end-to-end logistics operations such as transportation, warehousing, inventory management, and order fulfillment on behalf of its clients shall be provided by it which will help them to streamline their supply chain by outsourcing the non-core functions.
