Adisoft Technologies Ltd. IPO

Adisoft Technologies

• Adisoft Technologies is coming out with an initial public offering (IPO) of 43,08,000 shares in a price band of Rs 163-172 per equity share. 
• The issue will open on April 23, 2026 and will close on April 27, 2026.
• The shares will be listed on SME Platform of NSE.
• The face value of the share is Rs 10 and is priced 16.3 times of its face value on the lower side and 17.2 times on the higher side.
• Book running lead manager to the issue is HEM Securities.
• Compliance Officer for the issue is Vaibhav Nandkumar Salunke.

Profile of the company

The company is an Industrial Digital Automation Solutions provider, engaged into the business of designing, developing, procurement, assembling, testing, installation, commissioning & providing engineering services related to Automated assembly lines, Material handling machines, Robotic work cells (e.g., pick-and-place, sealing applications) and Special Purpose Machinery designed to address customer-specific operational requirements. Its services include application of digital technologies and control systems to automate industrial processes, by integrating the shop floor equipments and processes with the IT Layer, thereby, reducing or eliminating human intervention. 

It provides customized automation solutions primarily to Automobile manufacturers, Automotive OEMs and component/subcomponent manufacturers that require establishment, expansion, upgradation, modification, repair or reconfiguration of existing production lines, or operational set-up. A significant portion of its assignments involves productivity enhancement initiatives, where automation is leveraged to reduce manual dependency, improve process consistency, facilitates data handling and optimize takt times. 

The company also provides Service support for repair or restoration of the machine as required by the Customer. Company warrants that any material or component shall be repaired or replaced, if found defective, within a period of twelve months from the date of installation and commissioning. Such support services may be provided free of cost or on a chargeable basis, in accordance with the terms and conditions specified in the relevant Purchase Order (PO). In addition to standard repair and replacement services, the company also provides lifecycle support services including system upgrades, retrofitting, Annual Maintenance Contracts (AMC), on-site installation & commissioning & troubleshooting by deputation of engineering team, skilled operators and technician. Further, for Automated Products traded by the Company (i.e., products supplied by the Company), the Company undertakes to replace any Product found to be defective within a period of twelve months from the date of sale.

Proceed is being used for:

• Repayment and/or pre-payment, in full or part, of borrowing availed by the company 
• Funding the capital expenditure requirements towards setting up of a new factory unit
• Meeting working capital requirements 
• General corporate purpose 

Industry overview

The Indian automobile industry has long been a reliable barometer of economic performance, given its critical role in both macroeconomic expansion and technological advancement. Within the sector, the two-wheeler segment dominates in terms of volume, driven by a growing middle class, a predominantly young population, and rising demand from rural markets. Demand for commercial vehicles has also strengthened, supported by the expansion of logistics and passenger transportation services. Market growth is expected to be shaped by emerging trends such as vehicle electrification, particularly in three-wheelers and small passenger cars. 

India has also established itself as a prominent auto exporter with strong growth prospects in the near future. Automobile exports rose 19% in FY25 to over 5.3 million units, led by robust demand for passenger vehicles, two-wheelers, and commercial vehicles in global markets. Complementing this momentum, government initiatives such as the Automotive Mission Plan 2026, the scrappage policy, and the production-linked incentive (PLI) scheme are expected to position India as a global leader in both the two-wheeler and four-wheeler markets.

The automobile industry in India benefits from factors such as the availability of skilled labour at low cost, robust R&D centres, and affordable steel production. It also provides significant investment opportunities and generates both direct and indirect employment for skilled and unskilled workers. The electric vehicle (EV) sector alone is projected to create five crore jobs by 2030, underscoring its potential as a major driver of employment and growth. To support this expansion, the Ministry of Heavy Industries (MHI) has extended the tenure of the Production Linked Incentive (PLI) Scheme for Automobile and Auto Components by one year. The scheme now offers incentives on determined sales over five consecutive financial years from 2023-24 to 2027-28, with disbursements in the subsequent year.

Pros and strengths

Well-established design & development capabilities: A key strength of its business lies in its in-house design and development capabilities. Its engineering team is responsible for the complete design lifecycle, including mechanical and electrical system design, control architecture, and simulation of site requirements during the conceptualization stage. The team translates functional requirements into scalable and modular automation architectures to meet the specific operational needs of its customers. Advanced software tools such as E-PLAN, SolidWorks, AutoCAD, and ZW Cad are used to prepare designs with precision and consistency. As of January 31, 2026, its Design and Development function comprises 49 professionals, who support the timely delivery of customer-specific automation solutions. In-house design capabilities enable it to conduct multiple design iterations efficiently, maintain quality control, and respond promptly to changes in customer requirements or project specifications.    

Integrated in-house assembling and testing infrastructure: Its business operations are fully in-house located in MIDC Bhosari, Pune. The facility is equipped with the necessary tools, machines, fixtures, and testing equipment, including handheld multi-meters and continuity testers, to support assembly and quality assurance of automation systems. The plant layout is optimized for assembling with co-located inventory to minimize material movement and non-value-added time. By keeping these functions under one roof, it is able to directly control the quality of its products, reduce delays and ensure that customer requirements are met reliably. This infrastructure not only makes its business operations more efficient but also gives confidence to its customers that it can deliver consistent and quality solutions on time.

Enduring relationships with customers across geographies: Over the years it has established a diversified customer base. The experience and rapport of its management with customers play an instrumental role in creating, maintaining and expanding the customer base for the company. Timely delivery and quality of products has helped it retains its customers and is instrumental in expanding its customers across diversified geographies. The company has diversified revenue from multiple geographical locations across various states in India. Currently, it markets its products to more than 10 states within India and gradually it intends to expand its business operations to other geographical locations as well. Its presence in multiple geographies not only helps it in expanding its customer base but also helps by keeping itself in tune with the latest technological advancements.

Risks and concerns

Dependent on top 10 customers: Its business is dependent on the sale of its services to certain key customers. The top 10 customers consistently contributed a substantial share of revenue, accounting for 70.18% in the period ending October 31, 2025, and 74.09%, 75.13%, and 77.19% in FY 2025, FY 2024, and FY 2023, respectively. The substantial portion of its revenues has been dependent upon few customers. Its reliance on a limited number of customers for its business exposes it to risks, that may include, but are not limited to, delays or cancellation of orders from its significant customers, a failure to negotiate favourable terms with its key customers or the loss of these customers, all of which would have a material adverse effect on the business, financial condition results of operations, cash flows and future prospects of the company.

High dependence on automotive sector: It is significantly dependent on the performance of the automotive sector in India for the sale of its automation solutions. Its revenue from automotive sector clients during the period ended October 31, 2025 and Fiscal Years 2024-25, 2023-24 and 2022-23 constituted 59.95%, 78.61%, 72.48%, and 64.32% of its revenue from operations, respectively. Any reduced demand in the automotive segment, deterioration in the automotive market, uncertainty, or changes in regulations, customs, taxes, or other restrictions affecting the automotive market, particularly in India, could adversely impact its business, operations and financial condition.  

Dependent on limited number of suppliers: The company is dependent on limited number of suppliers, within limited geographical locations for procurement of raw materials. For the period ended October 31, 2025 and Fiscal year 2025, Fiscal 2024 and Fiscal 2023, purchases from its top ten suppliers amounted to Rs 3703.24 lakh, Rs 7135.20 lakh, Rs 6524.09 lakh and Rs 4533.70 lakh respectively, which represented 81.07%, 76.57%, 85.54% and 77.72% of its total raw material purchases, respectively, for the said period. It does not have any long-term supply contracts with these suppliers and therefore, it cannot assure that it shall always have a steady supply of raw material at prices favourable to the company. Any delay, interruption or reduction in the supply of raw materials required for its products may adversely affect its business, results of operations, cash flows and financial condition.

Outlook

Adisoft Technologies is engaged into the business of designing, developing, procurement, assembling, testing, installation, commissioning & providing engineering services related to Automated assembly lines, Material handling machines, Robotic work cells (e.g., pick and- place, sealing applications) and Special Purpose Machinery designed to address customer-specific operational requirements. Its services include application of digital technologies and control systems to automate industrial processes, by integrating the shop floor equipments and processes with the IT Layer, thereby, reducing or eliminating human intervention. On the concern side, it operates through its Assembly unit located at Pune, Maharashtra. Due to the geographical concentration of its business operations in Pune district, its operations are susceptible to local, regional and environmental factors, such as social and civil unrest, regional conflicts, civil disturbances, economic and weather conditions, natural disasters, demographic and population changes, and other unforeseen events and circumstances.

The company is coming out with a maiden IPO of 43,08,000 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 163-172 per equity share. The aggregate size of the offer is around Rs 70.22 crore to Rs 74.10 crore based on lower and upper price band respectively. On performance front, total income for the financial year 2024-25 stood at Rs 13301.68 lakh whereas in Financial Year 2023-24 the same stood at Rs 10413.76 lakh representing an increase of 27.73%. The company reported Restated profit after tax for the financial year 2024-25 of Rs 1611.08 lakh in comparison to Rs 1175.57 lakh in the financial year 2023-24.

Meanwhile, maintaining quality in automation solutions is a key strategic focus for the Company. It recognizes that the reliability and performance of technology are important factors in the automation industry, directly impacting customer satisfaction, system performance, and long-term customer relationships. Its approach to quality is based on established business processes, continuous monitoring, and timely corrective action. Systematic quality review mechanisms are implemented across the project lifecycle, including design validation, component inspection, system-level testing, and customer acceptance procedures. Further, it has applied for ISO 9001:2015 certification and are currently aligning its operations with the prescribed Quality Management System (QMS) requirements to enhance process standardization, operational efficiency, and customer satisfaction.