Nelsoft Files Draft Papers with SEBI for ₹1,000 Crore IPO

Nelsoft, a Pune-based company, has filed a draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO).

The proposed IPO comprises a fresh issue of ₹1,000 crore and an offer for sale (OFS) of up to 8 million shares by existing promoters and shareholders.

Utilisation of IPO Proceeds

The funds raised from the IPO will be allocated towards various capital expenditure projects. Key areas include civil construction and interior development of the company’s Viman Nagar office, setting up new workstations and infrastructure at its Hinjewadi office, and acquiring advanced IT infrastructure.

This includes computer graphics workstations, servers, cloud systems, scanners, network switches, and printers. Additionally, part of the proceeds will be used for purchasing software subscriptions and licenses to support the company’s operations.

Equirus Capital and IIFL Capital are acting as the lead managers for the issue.

Nelsoft’s Business and Financial Performance

Nelsoft Ltd is a technology-driven engineering services and solutions (ER&D) company with over two decades of experience. It serves clients across Architecture, Engineering, and Construction (AEC), Manufacturing, and Industrial Plant sectors. The company specializes in digitalization, digitization, and automation to improve efficiency and sustainability in design-build-operate activities.

For the financial year 2024 (FY24), Nelsoft reported revenue of ₹325.85 crore, an increase from ₹291 crore in FY23. The company also recorded a net profit of ₹57.85 crore in FY24, up from ₹46.64 crore in the previous year. These results highlight the company’s steady growth and profitability, reinforcing its position as a key player in the engineering services sector.

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