Power solutions manufacturer Prostarm Info Systems Limited is launching its market debut with a ₹168 crore initial public offering, opening for subscription from May 27-29, 2025. The IPO comprises entirely fresh equity shares totaling 1.60 crore units, providing investors direct access to the company's expansion plans.
The offering features a price range of ₹95-105 per share with a minimum application size of 142 shares, requiring retail investors to invest at least ₹13,490 to participate. Share allotment is scheduled for May 30, 2025, followed by listing on both BSE and NSE on June 3, 2025, presenting investors an opportunity to enter the growing energy storage and power conditioning equipment sector.
Prostarm Info Systems Limited IPO is a fundraise worth ₹168 crores, an entirely fresh issue of 1.60 crore shares. The IPO will be available for subscription from May 27, 2025, to May 29, 2025, providing an opportunity for investors looking to gain a stake in the power sector.
| Prostarm Info Systems IPO date | May 27, 2025 - May 29 , 2025 |
| Price band | ₹95 to ₹105 per share |
| Face value | ₹10 per share |
| Lot size | 142 shares |
| Issue type | Book-built issue IPO |
| Fresh issue | 1,60,00,000 shares amounting to ₹168 crores |
| Total issue size | 1,60,00,000 shares amounting to ₹168 crores |
| Listing at | BSE, NSE |
| Share holding post issue | 5,88,74,592 shares |
| Share holding pre issue | 4,28,74,592 shares |
The Prostarm Info Systems Limited IPO opens for subscription on May 27, 2025, and closes on May 29, 2025, with allotment slated for May 30, 2025.
| IPO open date | May 27, 2025 (Tuesday) |
| IPO close date | May 29, 2025 (Thursday) |
| Basis of allotment | May 30, 2025 (Friday) |
| Initiation of refunds | June 2, 2025 (Monday) |
| Credit of shares to demat account | June 2, 2025 (Monday) |
| Listing date on exchanges | June 3, 2025 (Tuesday) |
| Cut-off time for UPI mandate confirmation | 5 PM on May 29, 2025 (Thursday) |
Prostarm Info Systems Limited, incorporated in January 2008, is an Indian company specializing in designing, manufacturing, and selling Energy Storage and Power Conditioning Equipment under their "Power Solution Products" portfolio. The company manufactures a comprehensive range of products including UPS systems, inverter systems, solar hybrid inverter systems, lithium-ion battery packs, and voltage stabilizers, offering both customized and standard solutions through in-house production and contract manufacturing. Additionally, they execute rooftop solar power plant projects on an EPC basis and provide third-party batteries along with reverse logistics and end-of-life disposal services.
The company serves diverse industries including healthcare, aviation, research, BFSI, railways, defence, security, education, renewable energy, IT, and oil & gas, with notable clients such as Airports Authority of India, NTPC, Railtel Corporation, and various state government departments. Their comprehensive service offerings include installation, rental options, warranty support, post-warranty care, and Annual Maintenance Contracts (AMC). As of May 2025, Prostarm operates through 21 branch offices and 2 storage facilities across 18 states and 1 union territory, supported by 423 permanent staff members and 19 contractual employees as of March 2025.
Prostarm Info Systems plans to utilise the net proceeds from its IPO for funding working capital requirements, repayment or prepayment of outstanding borrowings, and pursuing inorganic growth through potential acquisitions and strategic initiatives, along with general corporate purposes aimed at supporting the company’s overall expansion and operational needs.
The Prostarm Info Systems Limited IPO showcases a market capitalization of ₹618.18 crores. Key performance indicators, as on March 31, 2024, reflect the company's financial health, with a Return on Equity (RoE) of 31.41%, Return on Capital Employed (RoCE) of 32.41%, and Debt-to-Equity ratio of 0.51.
The Return on Net Worth (RoNW) stands at 32.09%, while the Price-to-Book Value (P/BV) is seen at 5.34. The PAT Margin is 8.85 A comparison of earnings per share (EPS) reveals a pre-IPO EPS of ₹5.32 while it will be ₹5.01 post-IPO.
| Period Ended | December 31, 2024 | March 31, 2024 | March 31, 2023 | March 31, 2022 |
| Assets | 230.04 | 203.05 | 155.39 | 98.03 |
| Revenue | 270.27 | 259.23 | 232.35 | 172.05 |
| Profit After Tax | 22.11 | 22.80 | 19.35 | 10.87 |
| Net Worth | 107.24 | 84.30 | 61.00 | 40.95 |
| Reserves & Surplus | 64.37 | 41.42 | 18.13 | 31.87 |
| Total Borrowing | 60.37 | 43.47 | 24.85 | 3.21 |
Amount in ₹ crores
Prostarm Info Systems demonstrates strong market positioning through its diversified product portfolio and established customer relationships. The company offers a comprehensive range of power solutions including UPS systems, inverters, lithium-ion battery packs, and solar EPC projects, catering to diverse industries such as healthcare, aviation, BFSI, railways, and defense. With over 15 years of operational experience, the company has built trust among its clientele, serving over 700 customers in fiscal 2024, with 40% maintaining long-term relationships spanning three years. This diversification helps strengthen cross-selling opportunities and customer retention across multiple product verticals.
The company's operational infrastructure and market reach further reinforce its competitive advantage. Prostarm operates through 21 branch offices and 2 storage facilities across 18 states and 1 union territory, providing extensive geographical coverage and distribution capabilities. The company maintains strong relationships with government agencies and institutional clients, being empaneled as a vendor for several public sector organizations. Additionally, their in-house manufacturing capabilities ensure quality control and customization, while their comprehensive after-sales services including AMCs, rentals, and warranty support enhance customer value proposition and create recurring revenue streams.
Prostarm faces significant operational and regulatory risks that could impact its business performance. The company has received a show cause notice under the Customs Act, 1962, which could materially affect its financial condition if an adverse order is passed. Revenue concentration remains a critical vulnerability, with heavy dependence on a limited number of customers and substantial reliance on third-party dealers and distributors for business operations. Any disruption in these relationships, non-compliance issues, or loss of key customers could significantly impact cash flows and overall financial performance.
Financial and operational challenges further compound the company's risk profile. Prostarm has experienced negative operating cash flows of ₹1,350.31 lakhs, ₹780.18 lakhs, and ₹1,053.45 lakhs in fiscals 2023, 2024, and nine months ended December 2024, respectively. The company faces supplier dependency risks, with potential supply chain disruptions and raw material price fluctuations affecting operations. Additionally, under-utilization of manufacturing capacities, exposure to contingent liabilities, and ongoing legal proceedings involving the company, promoters, and key personnel create additional uncertainties that could adversely affect future business prospects and financial performance.
The Prostarm Info Systems Limited IPO presents a valuable opportunity for investors to gain early exposure to the energy storage and power conditioning equipment sector. Entering at this stage offers potential long-term benefits in a growing and essential industry.
However, investors should approach this opportunity with careful consideration. A thorough evaluation of the company’s financial health, market position, and growth outlook is essential. Aligning the investment with one’s personal goals and risk profile will help turn this promising IPO into a well-informed and strategic financial move.
What is the Prostarm Info Systems IPO?
The Prostarm Info Systems Limited IPO is a main-board offering with a fresh issue of 1.60 crore equity shares with a face value of ₹10 per share, aiming to raise a total of ₹168 crores. The share price is set between ₹95 and ₹105, with a minimum order quantity of 142 shares. This IPO will be open for subscription from May 27, 2025, to May 29, 2025. Kfin Technologies Limited is the registrar while Choice Capital Advisors Private Limited is the book-running lead manager.
When will the Prostarm Info Systems IPO open?
The Prostarm Info Systems Limited IPO will open for subscription on May 27, 2025, and will close on May 29, 2025.
When is the Prostarm Info Systems IPO listing date?
The tentative listing date for the Prostarm Info Systems Limited IPO is Tuesday, June 3, 2025.
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