Xtranet Technologies Files for ₹190 Crore IPO; Fresh Issue to Fund Growth Plans

Bhopal | October 1, 2025: Xtranet Technologies Limited Ihas filed draft papers for an initial public offering (IPO) of ₹190 crore, comprising entirely fresh equity shares. The company plans to list on the main boards of both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). The IPO will have no offer-for-sale component, with all proceeds earmarked exclusively for corporate purposes. Specific details, including the price band, bid dates, lot size, and basis of allotment, will be announced closer to the launch.

Xtranet Technologies IPO Snapshot

Xtranet Technologies Limited is set to make its market debut through an initial public offering (IPO) targeting ₹190 crore, comprising a 100% fresh issue of equity shares. Details such as the opening and closing dates of the issue, price band, and lot size will be announced closer to the launch. The company’s shares are slated to be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).

Xtranet Technologies IPO Use of Proceeds

Xtranet will invest the funds as follows:

• Repayment/prepayment of borrowings: ₹21.99 crore
• Information technology infrastructure and hardware: ₹7.30 crore
• Working capital requirement financing: ₹102.00 crore
• General corporation purposes: amount within regulatory bounds

The largest portion of the capital will be directed towards working capital financing, supporting project execution, particularly during FY27, ensuring smooth operational continuity and timely delivery of projects.

Company Overview

Xtranet Technologies, established in 2002 and converted into a public company in July 2025, is a full-spectrum IT services company that offers solutions across enterprise applications, digital services, managed IT operations, and proprietary technology platforms.

Its in-house platforms include:

• Synergy: A collection of low-code application building.
• XtraTrust: A licensed certifying authority-based service that provides digital signature, PKI, e-sign, and time-stamping facilities.

The registered office and head office of the company are in Bhopal, Madhya Pradesh. The company’s promoters are Sukhbir Singh Kukreja, Jogendrapal Singh Alagh, and Shiney Sukhbir.

Xtranet Technologies IPO Financial Performance

Xtranet Technologies Limited reported robust financial performance, with revenue from operations of ₹276.08 crore, profit after taxation (PAT) of ₹30.03 crore, and EBITDA of ₹47.65 crore, translating to an EBITDA margin of 17.26%. The company achieved a strong return on equity (ROE) of 31.18%, with a total worth of ₹95.49 crore and total borrowings of ₹39.24 crore. In comparison, FY24 revenue stood at ₹232.94 crore with PAT of ₹10.94 crore, reflecting significant year-on-year profit growth. As of 31 August 2025, Xtranet’s order book was valued at ₹333.50 crore, with Government and Public Sector Undertaking (PSU) clients contributing nearly 60% of FY25 revenue, highlighting a stable demand pipeline and strong operational footing.

Xtranet Technologies IPO Shareholding Pattern

Pre-issue, the promoters collectively own 77.45% of equity

• Sukhbir Singh Kukreja – 42.16%
• Jogendrapal Singh Alagh – 26.38%
• Shiney Sukhbir – 8.91%

Also, the promoter group member, Supneet Kaur, holds 6.18%.

Xtranet Technologies IPO Offer Structure

The issue will be made pursuant to Regulation 6(1) of SEBI ICDR rules through the book-building process. Structure of allocation:

• Up to a maximum of 50% to Qualified Institutional Buyers (QIBs)
• At Least 15% of Non-Institutional Investors (NIIs
• At least 35% of the Retail Investors (RIIs)
• Up to 60% of the QIB share can be set aside for anchor subscribers.

Xtranet Technologies IPO Key Risks to Watch

• Client concentration: Top-10 clients contributed ~66% of FY25 revenues; significant Government/PSU contract exposure.
• Working capital pressure: Receivable cycle of about 140–200 days; proceeds to be utilized to provide liquidity.
• Risk of execution: Large order execution entails execution within a span of time; otherwise, profitability might be affected.
• Contingent liabilities: Retention money, bank guarantees, and tax disputes remain the likely liabilities.

Xtranet Technologies IPO Capex Deployment

The budgeted capex of ₹7.30 crore entails outlay on:

• Servers and SAN storage systems
• Enterprise firewalls and networking equipment
• Microsoft and Red Hat software licenses
• Security systems (CCTV, fire alarms) for its new IT Park facility in Bhopal

Xtranet Technologies IPO Lead Managers & Registrar

• Book Running Lead Manager (BRLM): Share India Capital Services Pvt Ltd
• Registrar: KFin Technologies Ltd

REF: https://www.bseindia.com/corporates/download/305760/IPO Prior/Xtranet_DRHP_Final_20250926220859.pdf

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