
- IPO Overview
- What Does The Company Do?
- Objectives of the IPO
- Peer Comparison
- IPO Valuation
- Industry Outlook
- Analyst View
- Other Upcoming IPOs to Watch
- How to Apply for an IPO on INDmoney?
Aditya Infotech Limited, India’s biggest homegrown video security company and the name behind the popular ‘CP PLUS’ brand, has witnessed significant interest among investors as it saw over 100x subscription. As of August 1, 2025, the GMP is running at ₹320, a 47% premium over the price band. In this blog, you’ll find a simplified breakdown of Aditya Infotech’s business model, IPO objectives, strengths, weaknesses, valuation details, key industry factors, and how this offering stacks up to the competition, so you can make a balanced, informed investment choice.
IPO Overview
- IPO Date: July 29 to July 31, 2025
- Total Issue Size: ₹1,300 crore
- Price Band: ₹640 to ₹675 per share
- Lot Size: 22 shares per lot
- Tentative Allotment Date: August 1, 2025. Check Aditya Infotech allotment status here.
- Listing Date: August 5, 2025 (Tentative)
- Subscription Status: The Aditya Infotech IPO subscriptions closed at 106.23x.
- GMP: The GMP for Aditya Infotech IPO is ₹320, according to Chittorgarh.com (as of August 1, 2025, 2 PM).
Disclaimer: GMP is an unofficial indicator and is subject to market volatility.
What Does The Company Do?
Put simply, Aditya Infotech brings video security within everyone’s reach. It designs, manufactures, and sells surveillance cameras, network recorders, and mobile security gadgets under its flagship ‘CP PLUS’ brand, while also distributing products for global name ‘Dahua’. Its solutions protect banks, offices, homes, hospitals, shops, you name it. The company not only sells these devices but also backs them up with after-sales support, smart AI-based features (like ‘OnVigil’), and a strong national network: 550+ cities, 41 branches, and a team of 1,274 on the ground.
Objectives of the IPO
- ₹800 crore via Offer for Sale: This money goes to current shareholders selling their stake, not the company.
- Up to ₹500 crore Fresh Issue: About ₹375 crore will go toward paying down some of its existing loans. The rest (up to ₹125 crore) will fund general business needs, expansion, and day-to-day operations.
- Greater visibility: Getting listed will help the company build a public profile and allow shares to trade openly, giving investors an easy entry and exit.
Strengths:
- Market Leader: Largest Indian player in video security, controlling 20.8% share in FY25.
- Extensive Reach: Present in 550+ cities, supports business with more than 1,000 distributors and over 2,100 system integrators.
- Product Range: Sells everything from advanced CCTV cameras to smart, AI-driven security services under one roof.
- Strong Returns: ROE of 34.53% in FY25, that’s ₹34.53 profit for every ₹100 investors’ money put to work.
- Seasoned Management: Led by industry veterans with deep experience and a reputation for navigating the evolving security landscape.
- Compliance Ready: Quick to adapt to new government cybersecurity rules, with key products already certified.
Risks:
- Revenue Dependence: 77% of the money comes from just four products. Any drop in demand for them could hurt big.
- Supplier Reliance: Relies heavily on a few main suppliers, and about a quarter of revenue is linked to Dahua products, a single supply issue could dent results.
- Single Factory Risk: Only one plant in Andhra Pradesh; local disruptions or disasters can hit production hard.
- Margins Under Pressure: Lots of sale discounts to fight off intense competition. PAT margin was 11.25% in FY25, not as fat as global peers.
- No Patents: Product designs are not protected by patents, making it easier for others to copy and compete.
- Customer Concentration: Top 10 customers bring in nearly 19% of sales. Losing any of them would sting.
Peer Comparison
- Revenue: Outpaces Indian competitors, ₹31,119 million in FY25, ahead of Samriddhi Automations and a hair above Prama Hikvision. Still small compared to global names like Dahua.
- Profit Margins: PAT margin of 3.29% (pre-exceptional) in FY25, lower than international rivals (Dahua 8.76%, Prama 7.78%) but better than some local peers.
- Returns: ROE is a clear standout at 34.53%, showing excellent efficiency compared to both Indian and global competition.
- Network: Massive pan-India footprint, broader than other Indian firms.
- Manufacturing: First in India to localize production for this sector, but has just one facility.
- Product Breadth: Over 2,900 products on offer, covering nearly every need in surveillance.
IPO Valuation
With the P/E ratio at 20.44 (based on the upper end of the IPO price band), Aditya Infotech is coming to market at a valuation that is quite reasonable when you stack it next to many recent IPOs, especially given the company’s leading position and strong ROE of 34.53%. What does this number mean? Investors will be paying ₹20.44 for every ₹1 of annual profit Aditya Infotech generates, which is on the lower side for a recognized market leader in India’s fast-growing security segment. Compared to broader market averages and relative to the company's size, reach, and proven profit generation, this valuation could be seen as attractive, especially with peers (where data is available) often commanding higher multiples. However, keep in mind that margins remain under pressure, and a big chunk of income still hinges on four main products. In short: the valuation looks fair and not overly stretched, tilting the risk-reward balance in favor of investors who believe in the company’s ability to expand its product mix and protect profitability in the competitive landscape.
Industry Outlook
Video surveillance in India is on an accelerated growth path. The market touched $1.3 billion in FY25 and is expected to grow at an annual rate of about 16.5% through 2030. What’s driving this? Living and doing business in the country today means facing rising safety demands, new rules requiring surveillance in banks and schools, and a government push for local manufacturing to reduce import dependence. All this is happening while cutting-edge tech, AI, remote monitoring, and integrated digital solutions, keeps moving the goalposts. The competitive heat is real, with price wars and discounts squeezing margins, and the industry needs to walk the tightrope between tighter privacy laws and mushrooming demand.
Analyst View
Valuation always adds a crucial layer to any IPO analysis, and with Aditya Infotech’s P/E ratio coming in at 20.44, the picture gets noticeably clearer for investors. Here’s why: You’re paying ₹20.44 for every ₹1 of the company’s profit, a level that underlines not just restraint in pricing, but also potential room for upside, considering its 34.53% ROE and its leading 20.8% market share in India’s fast-evolving security space. This positions the IPO in a sweet spot where the price isn’t running ahead of the fundamentals, unlike some recent domestic listings where leadership and growth seem to come at a much steeper premium.
But valuation alone can’t be the whole story. The company’s strengths, a strong brand, deep distribution, ambitious growth plans, and steady financial results, make it a compelling story for those looking to ride India’s growing demand for surveillance and security solutions. The manageable leverage, robust product network, and technological focus tip further in its favor.
Yet, you shouldn’t brush past the flip side: thin PAT margins, heavy product concentration (four items fueling most of the revenue), and some supplier dependency issues won’t simply disappear overnight. The business must keep evolving, investing in new products, fortifying supply chains, and guarding its bottom line, to keep the growth story from stalling.
So, with the IPO priced at a moderate multiple, investors now have a stronger argument for considering Aditya Infotech: you’re not overpaying for dominance and growth, and the financial filters look healthy relative to the ask. It’s by no means a slam dunk, but for long-term investors comfortable with the blend of proven performance and clear challenges ahead, this IPO offers an entry point that’s neither too pricey nor too speculative, a balanced bet on a company well-placed in a sector with big tailwinds.
Other Upcoming IPOs to Watch
Wondering what’s next on the IPO track? These upcoming names have the market buzzing and could be headed to the bourses soon.
Company | Sector |
Bluestone Jewellery | Retail – Jewellery |
JSW Cement | Cement & Construction Materials |
LG Electronics India | Consumer Electronics |
Pine Labs | Fintech / Merchant Payments |
Reliance Jio | Telecom / Digital Services |
PhonePe | Fintech / Digital Payments |
Urban Company | Home Services Platform |
Hero Motors | Auto Components |
Hero FinCorp | Financial Services (NBFC) |
boAt | Consumer Electronics (D2C) |
Lenskart | Eyewear Retail – Omnichannel |
WeWork India | Coworking / Flexible Workspaces |
Bajaj Energy | Energy / Power |
PhysicsWallah | Edtech |
Zepto | Quick Commerce |
OYO | Hospitality – Budget Hotels |
Tata Capital | Financial Services |
Note: These companies are either in the DRHP stage or expected to file soon.
How to Apply for an IPO on INDmoney?
- Download the INDmoney app and complete your KYC to open an account.
- Go to the INDstocks section and tap on IPO, or search for ‘IPO’.
- Select your preferred IPO from the list of live IPOs.
- View key details like price band, lot size, and dates, then tap ‘Apply Now’.
- Choose the number of lots and place your order via UPI. Your funds will be blocked until the share allotment is finalized.
For a seamless application process, visit the INDmoney IPO page.
Disclaimer
Source: Aditya Infotech's RHP. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Please be informed that merely opening a trading and demat account will not guarantee investment in securities in the IPO. Investors are requested to do their own independent research and due diligence before investing in an IPO. Please read the SEBI-prescribed Combined Risk Disclosure Document prior to investing. This post is for general information and awareness purposes only and is nowhere to be considered as advice, recommendation, or solicitation of an offer to buy or sell, or subscribe for securities. INDstocks is acting as a distributor for non-broking products/services such as IPO, Mutual Fund, and Mutual Fund SIP. These are not exchange-traded products. All disputes with respect to the distribution activity would not have access to the Exchange investor redressal forum or the Arbitration mechanism. INDstocks Private Limited (formerly known as INDmoney Private Limited) does not provide any portfolio management services, nor is it an investment adviser. Logos above are the property of respective trademark owners, and by displaying them, INDstocks has no right, title, or interest in them. SEBI Stock Broking Registration No: INZ000305337, Trading and Clearing Member of NSE (90267, M70042) and BSE, BSE StarMF (6779), SEBI Depository Participant Reg. No. IN-DP-690-2022, Depository Participant ID: CDSL 12095500, Research Analyst Registration No. INH000018948 BSE RA Enlistment No. 6428.