SRIT India
- SRIT India is coming out with a 100% book building; initial public offering (IPO) of 1,68,00,000 shares of face value Rs 5 each in a price band Rs 123-130 per equity share.
- Not more than 50% of the issue will be allocated to Qualified Institutional Buyers (QIBs), including 5% to the mutual funds. Further, not less than 15% of the issue will be available for the non-institutional bidders and the remaining 35% for the retail investors.
- The issue will open for subscription on September 28, 2026 and will close on September 30, 2026.
- The shares will be listed on both BSE and NSE.
- The face value of the share is Rs 5 and is priced 24.60 times of its face value on the lower side and 26.00 on the higher side.
- Book running lead manager to the issue is Choice Capital Advisors.
- Compliance officer for the issue is Nidhi Hitesh Vaswani.
Profile of the company
SRIT India is a Bengaluru-headquartered Information Technology and Information Technology enabled Services (IT/ITeS) solutions company offering digital solutions and automations of systems through custom application development and integration services. It has a track record of twenty-six years in designing, implementing and operating digital platforms for Government entities and Enterprises in India and select overseas markets. The company has successfully implemented large-scale, mission-critical projects for both central and state government bodies across India. The company’s activities are organised across three verticals: (i) healthcare, (ii) electronic governance, and (iii) telecommunications and broadband. Through these verticals, it provides technology-enabled solutions, system integration, operations and maintenance services to Government clients and Enterprises.
The company is also strengthening its capabilities in artificial intelligence through the development and deployment of AI-enabled solutions in order to strengthen its service offerings. The company is in the process of undertaking projects and remain focused to deliver and include AI-enabled solutions, for instance it is currently developing an AI based video analytic software for an initiative of a government authority responsible for national highways. Furthermore, the company intends to capitalise on emerging opportunities in the power utility sector. In furtherance of which, the company has undertaken a project for a government corporation which is engaged in generating electrical power in the state of Karnataka for execution of transformer monitoring and digital monitoring solutions for thermal power stations positions it to pursue additional opportunities in this sector.
The company designs and delivers project-specific solutions as well as offer products that are configurable and customisable based on client requirements, and may be integrated with other products or third-party products. These products are deployed in the manner required by the client and may be used on a standalone basis or in conjunction with its broader solution suite, and support integration with third-party platforms and products. This supports its ability to service customised requirements through configurable deployments, while also offering standardised product offerings where appropriate.
Proceed is being used for:
- Funding of capital expenditure requirements towards modernization of existing products and redevelopment
- Funding working capital requirements of the company
- Achieving inorganic growth through unidentified acquisitions and other strategic initiatives and general corporate purposes
Industry overview
IT-BPM (Information Technology-Business Process Management) refers to the combined industry encompassing both IT services and business process outsourcing. IT services include software development, system integration, infrastructure management, and consulting, while BPM (also known as BPO) involves outsourcing non-core business functions such as customer support, finance and accounting, human resources, and data processing. Together, the IT-BPM sector supports global enterprises in enhancing efficiency, reducing costs, and driving digital transformation by leveraging skilled talent, process optimization, and advanced technologies. India is a global leader in this space, offering end-to-end solutions to clients worldwide. The IT-BPM (Information Technology - Business Process Management) market landscape is characterized by rapid digital transformation, global service delivery, and the integration of emerging technologies such as AI, cloud computing, and automation.
India’s domestic IT spending has witnessed significant momentum in FY2025, with the annual industry turnover reaching $58.2 billion. This represents a 7.0% year-on-year growth, underscoring the increasing reliance on technology within India’s economy. The growth is not just numerical but deeply rooted in widespread digital adoption across various industries, particularly banking, telecommunications, healthcare, and retail. These sectors are leveraging IT solutions to streamline operations, enhance customer experiences, and ensure regulatory compliance. The Indian government has played a crucial role in driving this growth through initiatives like Digital India, the Gati Shakti programme, and policies supporting Make in India and smart city development. These programs have spurred demand for IT services, cybersecurity, cloud infrastructure, and analytics platforms. Public sector digitalization efforts such as digitized public welfare distribution, Aadhaar-linked services, and e-governance have further fueled the demand for domestic IT services.
The scope of technology service offerings is rapidly expanding with the integration of emerging technologies such as artificial intelligence, machine learning, blockchain, 5G, IoT, quantum computing, and generative AI. Indian IT firms are increasingly investing in innovation labs, global delivery centers, and partnerships with tech giants to co-develop advanced solutions. With a growing demand for digital modernization, cloud migration, and cybersecurity resilience, Indian firms are moving up the value chain from IT outsourcing to becoming strategic digital transformation partners. This evolution positions them to capitalize on global shifts toward platform-based IT models, sustainability tech, and Industry 4.0 initiatives. Furthermore, Indian IT companies are also playing a pivotal role in shaping the future of technology-enabled business ecosystems by focusing on industry-specific platforms and productized services. They are developing IP-led solutions that combine domain expertise with digital capabilities to address niche market needs, such as intelligent supply chains, smart cities, digital banking platforms, and personalized healthcare solutions.
Pros and strengths
Established digital technology and systems expertise: With a legacy of twenty-six years, the company has established a track record of designing, implementing and operating digital platforms for Governments and Enterprises in India and select overseas markets across healthcare, electronic governance and telecommunications and broadband sectors. The company’s service delivery is anchored in the development and deployment of software products combined with deep system integration and managed services capabilities. Its technology capabilities also provide foundation for the development and deployment of emerging technology solutions including artificial intelligence enabled applications and automations, in line with its technology roadmap.
Comprehensive suite with end-to-end automation: The company’s product portfolio spans the healthcare, electronic governance, and telecommunications and broadband verticals. The company has a comprehensive suite comprising multiple modules, with each module designed to support a specific set of functions and enable end-to-end process automation. Each module incorporates features that work collaboratively to execute specific tasks, ensuring scalable performance. The company offers its clients flexibility in deployment, allowing them to implement either the entire suite or selected modules, depending on their operational requirements and business objectives. This modular and configurable approach enables it to cater to a diverse set of client needs across various sectors.
Pan-India and international market presence: While the company has its Registered and Corporate Office in Bengaluru, Karnataka it has established a geographically diversified presence across India and select international markets, enabling it to serve a broad and varied client base while mitigating regional concentration risks. In India, it provides services across multiple states including Maharashtra, Andhra Pradesh, Madhya Pradesh, Chhattisgarh, Odisha, West Bengal, Tamil Nadu, Goa, Gujarat, Telangana, Kerala, and Karnataka, which allows it to effectively cater to clients across different regions and sectors. Internationally, the company has successfully executed projects in several countries across Qatar, UAE, Nigeria, Zambia, Bahrain, Oman and Myanmar thereby strengthening its presence in key global markets. This expansion underscores its capability to deliver solutions that meet international quality standards and to adapt to diverse client requirements across geographies.
Experienced promoters driving business growth: The company has achieved significant growth and strong financial performance under the leadership and guidance of its Promoters. Nambiar Raghavan Madhusoodan, the company’s Managing Director, Chief Executive Officer and one of its Promoters, has been on its Board since incorporation of the Company and has over 26 years of experience in the IT/ITeS sector. He is supported by its Whole-Time Directors and Promoters, Prasaktha Vakkiyl Nambiar, who has over 22 years of experience in employee training and development and Martin Poovakkulam Chacko, who has over 35 years of experience in the IT sector, respectively. Their deep understanding of the industry dynamics and proven track record have been instrumental in shaping its strategic direction and driving operational excellence. Under their leadership, the company has demonstrated consistent business growth and adaptability to evolving market trends.
Risks and concerns
Reliance on government contracts and tender wins: Majority of the company’s projects have been awarded through competitive bidding process, which is heavily dependent on tenders from Government entities, accounting for approximately 89.41%, 91.34%, and 81.84% of its revenue from operations for Fiscals 2026, 2025, and 2024, respectively. Failure to qualify for, complete or win new contracts could negatively impact its business, potentially affecting its financial condition, operational results, growth prospects, and cash flow stability.
Dependence on major customers for business growth: A significant portion of the company’s revenue from operations is attributable to its top ten customers accounting for approximately 89.36%, 92.68%, and 84.54% of its total revenue from operations, for the Fiscals 2026, 2025, and 2024, respectively, and its business and profitability is dependent on its ability to win projects from such customers. Loss of one or more of its customers or reduction in their demand for its offerings could adversely affect its business, results of operations and financial conditions.
Significant revenue and order book exposure to E-Governance: The majority of the company’s Order Book and revenue from operations are from the projects undertaken for the electronic governance sector with such projects accounting for approximately 58.40%, 63.86%, and 65.33% of its total Order Book value, and approximately 68.39%, 61.29%, and 50.13% of its revenue from operations, for the Fiscal 2026, Fiscal 2025, and Fiscal 2024, respectively. Any reduction in the activity and expenditure levels in this sector may adversely affect its business and prospects, and may reduce the number of projects it undertakes and impedes its growth. Further, any significant social, political, or economic changes in this sector could adversely affect its business, results of operations, financial condition, and cash flows.
Reliance on third-party contractors and sub-contractors: The company relies on third parties, including contractors and sub-contractors, to complete specific projects or specific portions of its projects. Sub-contractor costs were 78.92%, 80.87%, and 75.42%, as a percentage of total expenses in the Fiscals 2026, 2025, and 2024, respectively. It would be liable for any delay or default by such sub-contractor. Further, sub-contracting of maintenance activities requires prior approval from the authorities and failure to obtain such approvals would result in a breach of the terms of the project contracts.
Outlook
SRIT India is a Bengaluru-headquartered Information Technology and Information Technology enabled Services (IT/ITeS) solutions company providing digital solutions, custom application development and system integration services. It has diversified presence across three key verticals. It also has end-to-end digital solutions and integration capabilities. On the concern side, majority of the company’s projects are primarily awarded through a competitive bidding process, and its business depends on its ability to bid for and be awarded contracts for projects by project owners. However, the competitive nature of the industry poses challenges, potentially putting pressure on profitability margins. Moreover, a significant portion of the company’s revenue from operations is attributable to its top ten customers and loss of one or more of its customers or reduction in their demand for its offerings could adversely affect its business, results of operations and financial conditions.
The issue has been offering 1,68,00,000 shares in a price band of Rs 123-130 per equity share. The aggregate size of the offer is around Rs 206.64 crore to Rs 218.40 crore based on lower and upper price band respectively. Minimum application is to be made for 115 shares and in multiples thereof thereafter. On performance front, the company’s revenue from operations increased by Rs 606.52 million, or 15.58%, from Rs 3,893.47 million in Fiscal 2025 to Rs 4,499.99 million in Fiscal 2026. Moreover, the company’s restated Profit After Tax (PAT) for the year increased by Rs 96.85 million, or 28.82%, from Rs 336.04 million in Fiscal 2025 to Rs 432.89 million in Fiscal 2026.
Meanwhile, the company currently provides managed services using its software for multiple broadband and internet service providers. In furtherance to this, it intends to continue investing in infrastructure upgrades, including modernisation of core systems, adoption and implementation of emerging technologies, including artificial intelligence and automation. Building on its existing AI-enabled initiatives, it intends to further expand the development and deployment of AI-enabled solutions across its existing business verticals and continue strengthening its artificial intelligence capabilities. It also intends to build upon its recent foray into the power utility sector through the award of a transformer monitoring solutions project for thermal power stations and continue to pursue additional opportunities by leveraging its expertise in technology-led services and initiatives. This will enable the company to diversify its revenue streams, expand its customer base and strengthen its presence in an adjacent technology-driven infrastructure sector.
