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Decoding Takyon Networks IPO: Your Comprehensive Investment Guide

Decoding Takyon Networks IPO: Your Comprehensive Investment Guide

The Indian equity market continues to buzz with activity, and a fresh opportunity is on the horizon for investors interested in the IT solutions sector. Takyon Networks Ltd., an established player in digital transformation services, is set to launch its Initial Public Offering (IPO). This guide provides a detailed analysis of their upcoming SME IPO, helping you make an informed decision.

Takyon Networks Ltd. at a Glance

Incorporated in 2009, Takyon Networks Limited has carved a niche as a prominent IT solutions provider. The company specializes in delivering comprehensive digital transformation services, catering to a diverse range of clients across various sectors.

Their service portfolio is extensive, covering:

  • IT Infrastructure Solutions (networking, cloud services, data centers, security)
  • System Integration
  • Video Conferencing Solutions
  • Surveillance and Security Systems
  • Power Conditioning
  • Customized Software Solutions
  • Annual Maintenance Contracts (AMC) and Facility Management Services (FMS)

With a strong presence through branch offices in Delhi and Kolkata, Takyon Networks serves a broad clientele including government bodies, educational institutions, banking, railways, defense, telecom, healthcare, hospitality, manufacturing, media, and corporate enterprises. As of June 30, 2025, the company reported 533 employees on its payroll.

Decoding the IPO Details

The Takyon Networks IPO is a book-building issue aiming to raise significant capital. Here’s a quick overview of the essential details:

ParticularsDetails
IPO TypeSME Book Built Issue
Issue Size₹20.48 Crores (Entirely Fresh Issue of 37,92,000 Equity Shares)
Face Value₹10 per share
Price Band₹51 to ₹54 per share
Minimum Application Lot Size2,000 shares
Listing ExchangeBSE SME

Understanding the Allotment & Listing Timeline

Timing is crucial for IPO applications and tracking. Here’s the tentative schedule for the Takyon Networks IPO:

EventDate
IPO Open DateWednesday, July 30, 2025
IPO Close DateFriday, August 1, 2025
Tentative Allotment FinalizationMonday, August 4, 2025
Initiation of RefundsTuesday, August 5, 2025
Credit of Shares to Demat AccountTuesday, August 5, 2025
Tentative Listing DateWednesday, August 6, 2025

IPO Journey: A Visual Timeline

Open Jul 30, 2025
Close Aug 1, 2025
Allotment Aug 4, 2025
Listing Aug 6, 2025

(The timeline above represents the tentative schedule. Dates are subject to change.)

Investment Snapshot: Lot Size and Application Details

For investors planning to subscribe, understanding the lot size and minimum investment requirements is essential:

Investor CategoryMinimum LotsMinimum SharesMinimum Amount (at higher price band)
Individual Investors (Retail)24,000₹2,16,000
Small High Net-worth Individuals (S-HNI)36,000₹3,24,000
Big High Net-worth Individuals (B-HNI)1020,000₹10,80,000

Inside Takyon Networks: Business & Offerings

Takyon Networks prides itself on providing end-to-end IT services. Their competitive strengths include:

  • Comprehensive IT Solutions: Offering a wide spectrum of services from infrastructure to customized software, providing a one-stop solution for clients.
  • Diversified Clientele: A broad customer base across multiple sectors reduces dependency on any single industry, enhancing revenue stability.
  • Robust Order Book: A strong pipeline of projects indicates future revenue visibility and operational stability.
  • Experienced Leadership: A qualified and seasoned management team is crucial for strategic direction and execution in a dynamic industry.

Financial Health Check

A look at the company’s financial performance reveals important trends. While revenue saw a slight dip in the most recent fiscal year, the company demonstrated a notable increase in profitability, suggesting improved operational efficiency.

Restated Consolidated Financials (Amount in ₹ Crore)

Period Ended31 Mar 202531 Mar 202431 Mar 2023
Assets85.7072.8369.67
Revenue103.48108.2563.97
Profit After Tax (PAT)6.965.222.81
EBITDA12.2010.055.19
Net Worth35.2228.2722.86
Reserves and Surplus24.6924.7619.35
Total Borrowing12.0818.3718.64

Key Performance Indicators (KPIs) as of March 31, 2025

KPIValue
Market Capitalization₹77.34 Cr
Return on Equity (ROE)21.92%
Return on Capital Employed (ROCE)24.43%
Debt/Equity0.34
Return on Net Worth (RoNW)19.75%
PAT Margin6.75%
EBITDA Margin11.83%
Price to Book Value2.01
EPS (Pre-IPO)₹6.61
P/E (Pre-IPO)8.17x
EPS (Post-IPO)₹4.86
P/E (Post-IPO)11.12x

Purpose of the Public Offering

Takyon Networks plans to utilize the net proceeds from the IPO for strategic objectives aimed at fostering growth and strengthening its financial position. The key objectives are:

  • To meet the company's working capital requirements.
  • To repay a portion of its existing borrowings.
  • For general corporate purposes.

Unpacking the Share Allocation

The shares in the IPO are reserved across different investor categories as follows:

Investor CategoryShares OfferedPercentage (%)
Market Maker Portion1,92,0005.06%
Qualified Institutional Buyers (QIB) - Total17,82,00046.99%
- Anchor Investor Portion10,68,00028.16%
- QIB (Excluding Anchor)7,14,00018.83%
Non-Institutional Investors (NII / HNI)5,46,00014.40%
Retail Individual Investors (RII)12,72,00033.54%
Total Shares Offered37,92,000100.00%

Anchor Investor Details

Takyon Networks successfully raised ₹5.77 crore from anchor investors, signaling confidence from institutional participants. The anchor bid date was July 29, 2025.

  • Anchor lock-in period end date for 50% shares: September 3, 2025 (30 Days)
  • Anchor lock-in period end date for remaining shares: November 2, 2025 (90 Days)

Promoter Holdings

The company's promoters are Manish Kumar Sharma and Neeraj Kumar. Their stake in the company will undergo a change post-IPO:

Holding TypePercentage (%)
Pre-Issue Share Holding100.00%
Post-Issue Share Holding73.52%

Key Participants in the IPO Journey

The successful execution of an IPO relies on key intermediaries, ensuring a smooth process for both the company and investors:

  • Book-Running Lead Manager: Hem Securities Limited
  • Registrar to the Issue: Cameo Corporate Services Limited
  • Market Maker: Hem Finlease Private Limited

Strategic Outlook: A SWOT Analysis

Evaluating the company's strengths, weaknesses, opportunities, and threats provides a balanced perspective for potential investors, aiding in a more informed decision-making process.

CategoryAnalysis Points
Strengths
  • Extensive and comprehensive IT service offerings.
  • Diverse customer base across multiple critical sectors.
  • Healthy order book ensuring future revenue visibility.
  • Experienced and qualified management team at the helm.
  • Improved profitability margin despite slight revenue dip.
Weaknesses
  • Recent slight decrease in overall revenue (FY24-25 vs FY23-24).
  • Potential reliance on specific industry verticals or large contracts, which can impact revenue stability if not well-diversified.
  • Need for continuous investment in technology and human capital to stay competitive in a rapidly evolving IT landscape.
Opportunities
  • Growing demand for digital transformation and IT infrastructure services in India.
  • Government initiatives promoting digitalization across sectors creating new avenues.
  • Potential for geographic expansion and deeper market penetration.
  • Opportunities for strategic acquisitions to expand service offerings or client base.
Threats
  • Intense competition from established players and emerging startups in the IT sector.
  • Rapid technological advancements demanding constant adaptation and investment.
  • Economic slowdowns or budget cuts by clients can impact project flow and profitability.
  • Talent retention and acquisition challenges in a competitive job market for skilled IT professionals.

Frequently Asked Questions (FAQs)

What is the Takyon Networks IPO?

The Takyon Networks IPO is an SME IPO involving the fresh issuance of 37,92,000 equity shares, aiming to raise ₹20.48 Crores. Each share has a face value of ₹10, and the issue is priced between ₹51 to ₹54 per share. The minimum application quantity is 2,000 shares, and it will be listed on BSE SME.

When will the Takyon Networks IPO open and close?

The IPO subscription window opens on Wednesday, July 30, 2025, and closes on Friday, August 1, 2025.

What is the lot size for Takyon Networks IPO?

The lot size for Takyon Networks IPO is 2,000 shares. The minimum investment for a retail individual investor is 2 lots, or 4,000 shares, amounting to ₹2,16,000 at the upper price band.

How can one apply for the Takyon Networks IPO?

Investors can typically apply online through their bank's net banking portal using ASBA (Application Supported by Blocked Amount) or via UPI (Unified Payments Interface) through their preferred brokerage platform if supported.

When is the Takyon Networks IPO allotment expected?

The finalization of the Basis of Allotment for Takyon Networks IPO is tentatively scheduled for Monday, August 4, 2025. Shares are expected to be credited to demat accounts by Tuesday, August 5, 2025.

When is the Takyon Networks IPO listing date?

The tentative listing date for Takyon Networks IPO on BSE SME is Wednesday, August 6, 2025.

Disclaimer: IPO investments are subject to market risks. Please read the offer document carefully before investing. This blog post is for informational purposes only and does not constitute financial advice.