Aditya Infotech Limited (AIL), operating under the CP Plus brand, is a leading distributor in India’s electronic security and surveillance market. Their products include video surveillance systems, access control solutions, AI & IoT solutions, and thermal imaging products. AIL holds a 21% market share in India’s video surveillance industry and operates a large manufacturing facility in Kadapa, Andhra Pradesh.
Aditya Infotech IPO Details
- Opening Date: July 29, 2025
- Closing Date: July 31, 2025
- Issue Size: ₹1,300 Crores
- Fresh Issue: ₹500 Crores (for debt repayment)
- Offer for Sale (OFS): ₹800 Crores (from promoters)
- Price Band: ₹640 to ₹675 per share
- Market Lot: 22 shares
- Minimum Retail Investment: ₹14,850 (1 lot at upper price band)
- Listing on BSE & NSE: Tentative listing date August 5, 2025
Financial Performance (FY24)
- Revenue: ₹3,212 Crores
- Profit After Tax (PAT): ₹210 Crores
- EBITDA Margin: 10.7%
AIL has shown strong financial growth, fueled by the rising demand for security systems.
Grey Market Premium (GMP)
- Current GMP: ₹255 to ₹282
- Expected Listing Price: ₹948 (potential gain of ~40.44%)
Subscription Status (as of July 30, 2025)
- Overall Subscription: 3.64x to 3.84x
- Retail Subscription: 11.66x to 12.26x
- Non-Institutional Subscription: 5.6x to 5.91x
Strengths and Concerns
| Strengths | Concerns |
| Market Leadership: 21% share in India’s surveillance market. | Valuation: High P/E ratio of 36.2x based on FY24 earnings. |
| Financial Growth: Consistent revenue and profit increase. | Working Capital: Requires significant working capital. |
| Manufacturing Capabilities: Large-scale production in India. | Supplier Risk: Dependence on Dahua Technology for key components. |
Brokerage Recommendations
Brokerages like Bajaj Broking, Anand Rathi, and Reliance Securities recommend the IPO for long-term investment.
How to Apply for the IPO
- Open Demat and Trading Account with a stockbroker.
- Apply via ASBA through net banking or UPI through stockbroker platforms.
- Submit your Bid, choosing either the cut-off price or a specific price within the band.
- Block Funds in your bank account.
Important Notes
- Promoter Holding Pre-Issue: 92.58%
- Promoter Holding Post-Issue: 76.7%
- Anchor Investors: ₹582 Crores raised from institutional investors like HDFC Mutual Fund, Goldman Sachs.
Pros and Cons of the IPO
| Pros | Cons |
| Access to Capital: Funds raised will aid expansion and debt reduction. | High Costs: The IPO process involves significant expenses. |
| Increased Visibility: Listing boosts the company’s profile and credibility. | Loss of Control: Promoters face dilution of ownership. |
| Liquidity: IPO provides liquidity for early investors and employees. | Market Pressure: Public companies face scrutiny and pressure to meet quarterly earnings expectations. |
| Public Currency: Public shares can be used for future acquisitions. | Ongoing Compliance: Continuous regulatory requirements can be costly and time-consuming. |
| Improved Governance: Public companies adhere to stricter regulations, enhancing transparency. | Stock Volatility: The stock may fluctuate post-listing, affecting financial stability. |
Disclaimer: GMP is unofficial and can change rapidly. SEBI does not regulate it. Always conduct thorough research before making investment decisions.
Conclusion
The Aditya Infotech IPO presents an attractive opportunity, with strong financials, market leadership, and significant growth potential in the security and surveillance market. Despite a high valuation, the IPO has garnered strong demand and is likely to perform well. Investors should consider the valuation and liquidity needs before investing.
FAQs
1. What is the Aditya Infotech IPO?
Ans: The Aditya Infotech IPO is a public offering by Aditya Infotech Limited, aimed at raising ₹1,300 Crores, with a focus on the electronic security market.
2. What is the price band for the Aditya Infotech IPO?
Ans: The price band for the IPO is ₹640 to ₹675 per share.
3. When is the Aditya Infotech IPO open and close?
Ans: The IPO opens on July 29, 2025, and closes on July 31, 2025.
4. How can I apply for the Aditya Infotech IPO?
Ans: You can apply via ASBA through net banking or UPI through platforms like Zerodha, Upstox, etc.
5. What is the expected listing gain from the Aditya Infotech IPO?
Ans: The expected listing price is approximately ₹948, suggesting a potential listing gain of around 40.44%.
My self Anita Sahani. I have completed my B.Com from Purbanchal College Silapathar. I am working in Dev Library as a Content Manager. A website that provides all SCERT, NCERT 3 to 12, and BA, B.com, B.Sc, and Computer Science with Post Graduate Notes & Suggestions, Novel, eBooks, Health, Finance, Biography, Quotes, Study Materials, and more.
