Founded in 2003 and headquartered in Ahmedabad, Gujarat, ArMee Infotech Limited is an end-to-end IT infrastructure, IT managed services, and renewable energy EPC solutions provider. The company primarily serves Government bodies, Public Sector Undertakings (PSUs), banking and financial services institutions, insurance companies, and educational organisations. Its core business covers the supply, installation, integration, and maintenance of IT hardware and software, including large-scale deployments for schools and other public digitisation programmes. In recent years, the company has also diversified into renewable energy EPC projects, which now constitute a significant portion of its order book.
The company is now launching a mainboard IPO on BSE and NSE to raise ₹300 crore through a fully fresh issue of 80 lakh equity shares. The IPO is priced in a band of ₹350 to ₹375 per share, with a lot size of 40 shares and a minimum retail investment of ₹15,000. The IPO opens on 23 September 2026 and closes on 25 September 2026, with listing expected on 30 September 2026.
IPO Detailed Information
Issue Details
| Parameter | Details |
| IPO Type | Book Built – Mainboard |
| Listing Exchange | BSE & NSE |
| IPO Open Date | 23 September 2026 |
| IPO Close Date | 25 September 2026 |
| Allotment Date | 28 September 2026 (Expected) |
| Refund Initiation | 29 September 2026 |
| Credit to Demat | 29 September 2026 |
| Listing Date | 30 September 2026 (Tentative) |
| Price Band | ₹350 – ₹375 per share |
| Face Value | ₹10 per share |
| Lot Size | 40 shares |
| Minimum Investment (Retail) | ₹15,000 (1 lot = 40 shares) |
| Maximum Investment (Retail) | ₹1,95,000 (13 lots = 520 shares) |
| Minimum Investment (sNII) | ₹2,10,000 (14 lots = 560 shares) |
| Minimum Investment (bNII) | ₹10,05,000 (67 lots = 2,680 shares) |
| Issue Size | ₹300 crore |
| Fresh Issue | 80,00,000 shares (₹300 crore) |
| Offer For Sale (OFS) | Nil |
Note: The entire IPO is a fresh issue — no offer-for-sale component. All proceeds will be received directly by the company.
Issue Break-up
| Category | Allocation |
| Qualified Institutional Buyers (QIB) | ~50% |
| Non-Institutional Investors (NII) | ~15% |
| Retail Individual Investors (RII) | ~35% |
OFS / Selling Shareholders
There is no Offer For Sale (OFS) in this IPO. The issue is entirely a fresh issue of ₹300 crore, and all proceeds will flow directly to the company for business use. There is no promoter exit.
Objects of the Issue (Fund Utilization)
The company intends to utilise ₹155 crore towards Performance Bank Guarantees (PBGs) to support its bidding capacity for new government and PSU projects. Additionally, ₹60 crore is earmarked for working capital requirements, and ₹6.50 crore for repayment or prepayment of existing borrowings. The remaining proceeds will be used for general corporate purposes. ScanX
- Performance Bank Guarantees (PBGs) for new project bidding — ₹155 crore
- Working capital requirements — ₹60 crore
- Repayment / prepayment of borrowings — ₹6.50 crore
- General corporate purposes — remaining proceeds
Lead Managers & Registrar
- Book Running Lead Managers: Khandwala Securities Ltd. and Saffron Capital Advisors Pvt. Ltd.
- Registrar to the Issue: Cameo Corporate Services Ltd.
Promoters & Management
ArMee Infotech Ltd. is led by promoters Amitkumar Mahendrabhai Shah and Ritesh Mahendrabhai Shah. Two of the three promoters have been associated with the company since its inception and bring over two decades of experience each.
Before the IPO, the promoters held 92.72% stake in the company. Post-IPO, the promoter shareholding will be slightly diluted as the fresh issue will restructure the shareholding of existing shareholders.
Company Details
ArMee Infotech Limited provides end-to-end IT infrastructure and managed services, along with renewable energy EPC solutions. The company primarily executes government and PSU digitisation projects, covering supply, installation, integration, and maintenance of IT hardware and software including large-scale deployments for schools and other public programmes.
Sectors Served:
- Government Bodies & Public Sector Undertakings (PSUs)
- Banking, Financial Services & Insurance (BFSI)
- Education Institutions
- Corporate / Private Sector Clients
- Renewable Energy (emerging vertical)
Key Business Verticals:
- IT Infrastructure Supply & Integration
- IT Managed Services & AMC
- Renewable Energy EPC Projects (solar and related)
- Government Digitisation Projects
Key Capabilities:
- Long-standing vendor and OEM partnerships for hardware procurement and deployment
- Proven track record in large-scale government tender execution
- Expanding into renewable energy EPC as a high-growth diversification avenue
Registered Office: Ahmedabad, Gujarat
Financial Snapshot
| Period | Revenue (₹ Cr) | PAT (₹ Cr) |
| FY24 | ₹1,023.99 | ₹50.13 |
| FY25 | ₹1,315.78 | ₹41.67 |
| FY26 | ₹1,396.63 | ₹45.47 |
Key Financial Metrics
- Revenue grew from ₹1,023.99 crore in FY24 to ₹1,410.09 crore in FY26, while PAT declined from ₹50.13 crore in FY24 to ₹41.67 crore in FY25 before recovering to ₹45.47 crore in FY26.
- EBITDA reached ₹75.64 crore in FY26. EBITDA margin was 5.42% and PAT margin was 3.26% — showing limited protection against cost escalation or execution delays.
- For FY26, ROE stood at 28.52%, ROCE at 24.10%, and RoNW at 24.96% — return ratios are healthy.
- Debt-to-equity increased to 0.96 after a sharp rise in borrowings.
- Post-IPO Market Cap: ~₹875 crore (at upper price band of ₹375)
Company Strengths
- Experienced promoters with over two decades of industry experience since inception, with long-standing vendor partnerships and strong government tender execution capabilities.
- Consistent and strong revenue scale — crossed ₹1,000 crore in FY24 and growing to ₹1,396 crore in FY26, demonstrating execution capability on large government contracts.
- Healthy return ratios with ROE of 28.52% and ROCE of 24.10% in FY26, reflecting efficient use of capital.
- Entire IPO is a fresh issue — no promoter exit, with all ₹300 crore flowing directly into the business.
- Expanding into renewable energy EPC — a high-growth sector backed by India’s aggressive solar and clean energy targets — providing long-term revenue diversification beyond traditional IT infrastructure.
- Operating in the large and growing government IT infrastructure spending market, supported by Digital India, smart cities, and other national digitisation initiatives.
Key Risks & Challenges
- High client concentration — approximately 83.84% of FY26 revenue came from Government/PSU clients, with the top five clients contributing 76.66% of revenue. Loss of any major client could materially impact operations.
- Geographic concentration — over 86% of revenue is generated from Gujarat, Maharashtra, and Tamil Nadu, exposing the company to regional economic and policy risks.
- Renewable energy execution risk — while 88.38% of the order book is in renewable energy, the promoters and management have minimal experience in this capital-intensive and regulated sector.
- Margin compression — gross margins declined from 9.45% in FY24 to 6.77% in FY25 due to a shift toward lower-margin traded goods.
- Volatile operating cash flow — the company reported negative operating cash flow of ₹(17.98) crore in FY25 despite recording revenue growth, raising concerns about working capital management.
- PAT in FY26 (₹45.47 crore) remains below the FY24 level (₹50.13 crore), indicating profit growth has not kept pace with revenue expansion — a sign of thinning margins over time.
Disclaimer:
This document is for informational purposes only and should not be considered as investment advice. Investors should read the Red Herring Prospectus (RHP) carefully and consult a financial advisor before investing in any IPO. Market investments are subject to risk.
