What you must know about TAC Infosec IPO?

About TAC Infosec IPO

TAC Infosec Limited, established in 2016 specializes in providing cybersecurity solutions through a Software as a Service (SaaS) model. They focus on risk based vulnerability management, cybersecurity quantification and penetration testing for clients spanning various industries and sizes both domestically and internationally. Their clientele includes prominent entities like banks, government bodies, financial institutions and large enterprises such as Bandhan Bank, BSE, HDFC and others.

In vulnerability management, the company assists organizations in the ongoing process of identifying, assessing, prioritizing, mitigating and resolving vulnerabilities within their IT systems. This process is crucial for maintaining cybersecurity as it allows for real time monitoring and rapid response to potential threats. TAC Infosec employs risk based vulnerability management which involves prioritizing vulnerability remediation based on the level of risk each vulnerability poses to the organization's IT infrastructure. This method ensures that resources are used wisely to tackle the most pressing vulnerabilities upfront. By prioritizing these critical issues, it ultimately strengthens the overall cybersecurity defenses of the organization.

As of 30 September 2023, TAC Infosec Limited employed a total of 56 individuals. Among these employees 33 were dedicated to operations and product development roles within the company.

Highlights of the TAC Infosec IPO

Here are some of the highlights of the TAC Infosec IPO

• TAC Infosec IPO will be open from 27 Mar 2024 to 2 Apr 2024. TAC Infosec IPO has a face value of ₹10 per equity share and the price band for the TAC Infosec IPO has been fixed between ₹100- ₹106 per share.
• The IPO of TAC Infosec IPO Ltd has only a fresh issue component and no offer for sale (OFS) portion.
• As part of the fresh issue portion of the IPO, TAC Infosec IPO will issue a total of 28.3 lakh shares, at the upper price band of the IPO at ₹106 per share to raise fresh funds of ₹29.99 crores.
• Since TAC Infosec IPO contains no offer for sale component, so the total IPO size is equivalent to the fresh issue size of the IPO which is ₹29.99 cr.
• The company has been promoted by Mr. Charanjit Singh and Mr. Trishneet Arora. Before the listing, promoter holding in the company stands at 78%, post IPO listing promoter holding will be diluted to 56.94%.
• The raised funds will be allocated towards several key initiatives. Primarily, a portion will be allocated for the acquisition of TAC Security Inc., investments will be made in boosting human resources and advancing product development efforts. Furthermore, the funds will be utilized to address general corporate needs and initiatives.
• Beeline Capital Advisors Pvt Ltd serves as the book running lead manager for the TAC Infosec IPO IPO, while Skyline Financial Services Private Ltd has been appointed as the registrar for the issue. Spread X Securities will be the market maker for the TAC Infosec IPO.

TAC Infosec IPO Allocation

In the TAC Infosec IPO, the net offer will be distributed among different categories of investors, including Qualified Institutional Buyers, retail investors and Non Institutional Investors or High Net Worth Individuals (HNIs). The allocation breakdown for the IPO of TAC Infosec is as follows

Lot sizes for investing in the TAC Infosec IPO

The minimum lot size for TAC Infosec IPO investment is 1200 shares, equivalent to ₹127,200 (1200 shares x ₹106 per share), which is also the maximum limit for retail investors to participate. For TAC Infosec IPO HNI/NII investors can invest in a minimum of 2 lots, totaling 2,400 shares with a minimum value of ₹2,54,400. Check the breakdown of lot sizes and amounts for retail and HNI categories

Key Dates for TAC Infosec IPO?

TAC Infosec IPO will open for subscription on Wednesday, 27 March 2024 and close on Tuesday, 2 April 2024. The bidding period for the TAC Infosec IPO will be from 27 March 2024, starting at 10:00 AM, until 2 April 2024, closing at 5:00 PM. For TAC Infosec IPO cut off time for UPI Mandate confirmation is 5:00 PM on the closing day of the IPO, which falls on 2 April 2024.

Financial Highlights of TAC Infosec IPO

Here's a summary of the key financials of TAC Infosec IPO Ltd for the last three completed financial years

Profit After Tax for TAC Infosec IPO has shown growth over the past three fiscal years. In FY21 PAT stood at ₹61.13 Lakhs. However, in FY22 PAT slightly decreased to ₹60.75 Lakhs indicating a relatively flat performance compared to FY21. In the recent financial year, FY23, there was a surge in PAT to ₹507.29 Lakhs representing an increase from both FY21 and FY22.

TAC Infosec SME IPO Peer Comparison

Among its peers, Infobeans Technologies has an EPS of 15.19 higher than TAC Infosec, which has the lowest EPS of 6.63. This comparison highlights the difference in earnings per share between the two companies, highlighting Infobeans Technologies stronger profitability in relation to TAC Infosec.