Skip to content

Invest & Trade Smarter with Fisdom App

Get a FREE Fisdom account for Stocks, Mutual Funds & more, all in one place

Download Fisdom app

ideaForge Technology Limited IPO – Price, Lot size, Open date, GMP & Review

Written by - Marisha Bhatt

June 23, 2023 6 minutes

The stock markets reached a record high recently and the Union Budget 2023 also emphasized significant investments in infrastructure and sectors like defense and green energy. This has led to optimism among both international and domestic investors. Amid this buzz, ideaForge Technology Limited, a drone manufacturing company, is coming out with an IPO on 26th June 2023.  

ideaForge Technology Limited will open for subscription on 26th June 2023 and will close on 29th June 2023.

Here are all the essential details of ideaForge Technology Limited, including investment price band, allotment date, GMP, benefits, risks of investing in this IPO, and more.

Read More: Book-building process in an IPO  

IPO Details 

The key details of ideaForge Technology Limited are as under. 

  1. IPO Size 

The size of the IPO and different categories of the issue are:

IPO Opening Date26th June 2023 
IPO Closing Date29th June 2023
ListingNSE, BSE
Issue TypeBook Built Issue IPO
Face value of sharesRe. 10 per share
IPO Price BandRs. 638 – Rs. 672 per share
IPO SizeRs. 567 crores 
Offer For SaleRs. 327 crores 
Fresh IssueRs. 240 crores
  1. IPO Dates 

The important dates for the ideaForge Technology Limited are highlighted below:

Opening date26th June 2023
Closing Date29th June 2023
Allotment date4th July 2023
Refund Date5th July  2023
Share Credit Date6th July 2023
Listing Date7th July 2023
  1. IPO Lot Sizes 

Investors can subscribe to ideaForge Technology Limited shares in pre-defined lots. The details of the lot sizes for this IPO are mentioned below: 

Investments in lots Minimum – 1 lotMaximum – 13 lots
Investment amount Minimum – Rs. 14,036 – 14,784Maximum – Rs. 1,92,192
Shares Minimum – 22Maximum – 286
  1. IPO Reservation

Here’s the summary of reservation for different applicant categories in this IPO:

Category of InvestorReservation Percentage
Retail Individual Investors 10%
QIB (Qualified Institutional Buyers)75%
NII (Non-Institutional Bidders)15%

ideaForge Technology Limited Objectives

The IPO will be a combination of a fresh issue and an Offer for Sale. The proceeds from the issue will be utilised in the following manner: 

  • The proceeds for the fresh issue will be utilised for repayment/prepayment of existing debt and to meet the working capital requirements of the company. 
  • The company will also use the proceeds towards product development. 
  • The balance proceeds will be used for general corporate purposes

Top things to know about ideaForge Technology Limited

ideaForge Technology Limited is the biggest drone manufacturer in India and the 7 biggest drone manufacturers in the world offering their products in the dual category (civil and defence). The company was incorporated in 2007 and provides unmanned aircraft systems (UAS) for mapping, security, and surveillance. The company is backed by well-known names like Qualcomm, Infosys, and Florintree Capital Partners, co-established by former Blackstone executive Mathew Cyriac. ideaForge has the largest operational deployment of UAVs across India and is used extensively by the armed forces, central armed police forces, state police departments, disaster management forces, forest departments, and civil customers.

IdeaForge offers two primary software solutions, namely, BlueFire Live! and BlueFire Touch.

BlueFire Live! is a software that enables secure and real-time streaming of the video feed from UAVs (Unmanned Aerial Vehicles). It also provides the capability to remotely control payloads, allowing users to operate the drone’s equipment from a command center located elsewhere.

On the other hand, BlueFire Touch serves as a Ground Control Software (GCS). It is specifically designed to plan and execute mapping and surveillance missions. The software allows users to pre-plan missions based on specific operational areas and target locations using waypoint-based navigation.

Financials of the company

ideaForge Technology Limited financials are given in the table below:

Total Assets (Rs. in cr)Operating Revenue (Rs. in cr)Profit after tax (Rs. in cr)Basic EPS Return on Net Worth
Mar-202222215944Rs.13.84 26.95%

(Source: RHP)

Strengths of the company

Some of the key strengths of ideaForge Technology Limited  that investors can take note of are:

Business model The company has shown strong financial performance and has the first mover advantage in the drone industry being a pioneer not only in India but also abroad.ideaForge has significant product development capabilities powering our software and solutions and product differentiators and the benefit of in-house design to deliver capabilities.The company has a diversified product range and a robust technology stack as well as a track record of successful outcomes in critical use cases. 
Qualitative meritsideaForge has strong relationships with a diverse customer base The company also has a strong management team.

Risks of investment

Here are some of the risks that investors of ideaForge Technology Limited should know:

Business viability and profitabilityThe company has complex products that are technologically advanced and can have unknown defects.The company could have difficulty in accessing strategic investments and acquisition opportunities in the future  
Other concernsThe drone industry in India is highly fragmented and can face high competition from other large and small players. The company is in a highly regulated industry and requires meeting licensing requirements.Any discrepancy in following regulations can have an adverse impact on the company’s operational and financial performance.The company can have an adverse impact on the business and its operations due to political, economic, and regulatory factors.

What is the Grey Market Premium (GMP) of ideaForge Technology Limited?

As of June 21st, 2023, the grey market premium for the shares of ideaForge Technology Limited IPO is Rs. 485 as per market observers. This means the shares are expected to list at a premium of Rs 485 per share over the listing cap price of Rs 672.

Should you apply for ideaForge Technology Limited?

ideaForge Technology IPO may attract significant investor interest as it enjoys first-mover advantage apart from having strong financial performance. The company has a strong client base both in the defence sector and industries like agriculture, real estate, to name a few. This diverse customer base can empower it to achieve significant growth in the future. However, the drone industry is subject to a lot of regulations, stringent licensing requirements and any drawbacks that may come as a result of technological dependency.

It is essential for investors to conduct their own due diligence and evaluate the company’s financials, risks, and industry dynamics before making any investment decisions.

How to apply for ideaForge Technology Limited?

Investors can invest in this IPO through the Fisdom app.

ideaForge Technology Limited IPO FAQs

1. What will be the post-issue shareholding pattern for the company?

The post-issue shareholding pattern for the company will be 30.19% of promoter holding and the balance 69.81% is expected to be held by the general public.

2. Who are the listed peers of ideaForge Technology Limited?

The listed peers of ideaForge Technology Limited Includes MTAR Technologies Ltd, Dat Patterns India Limited, and Astra Microwave Products Limited.

3. What is the market share of ideaForge Technology Limited?

The market share of ideaForge Technology Limited was approximately 50% as of FY 2022.

4. Has ideaForge Technology reported positive income?

For FY23, ideaForge reported positive revenues of Rs. 186 crores, which was a significant rise from Rs. 159 cr in the previous year.

Download one of India's best wealth management apps

Join more than one million investors and take control of your wealth

Download app