Upcoming IPO: Engineering services firm Neilsoft files DRHP papers with Sebi

Neilsoft Ltd, the Tokyo-based Fujita Corporation backed engineering services and solutions (ER&D) company, has filed a draft red herring prospectus (DRHP) with capital markets regulator SEBI to raise funds through initial public offering (IPO).

Neilsoft IPO is a mix of fresh issue of shares up to ₹100 crore and an offer-for-sale (OFS) of up to 80 lakh equity shares by promoters and other selling shareholders.

In the Neilsoft IPO, the OFS portion consists of shareholders selling shares up to 11,45,384 by Rupa Shah jointly with Harishkumar Shah, 1,255,784 shares by Netsophy Private Limited, 147,764 shares by Nishit Shah jointly with Rupa Shah, up to 41,376 equity shares by Harishkumar Shah jointly with Rupa Shah, 2,440,884 equity shares by Small Industries Development Bank of India, 1,854,808 equity shares by SICOM Limited and other selling shareholders, the company said in a release.

Neilsoft Ltd proposes to utilise the fresh issue proceeds to the extent of ₹69.63 crore for funding of capital expenditure and general corporate purposes.

Around 75% of the shares in the Neilsoft IPO are allocated to qualified institutional buyers (QIB), and not less than 15% and 10% of the net offer is assigned to non-institutional investors (NII) and retail individual investors, respectively.

Equirus Capital and IIFL Capital Services are the book-running lead managers of Neilsoft IPO and Link Intime India is the IPO registrar. Neilsoft shares are proposed to be listed on the National Stock Exchange of India and BSE.

About Neilsoft Ltd

Neilsoft was founded in 1991 and commenced operations in Fiscal 1992, and provides customized engineering services, including AEC design solutions, industrial plant design, and manufacturing equipment and production line design.

It also offers Engineering Process Outsourcing (EPO) services and develops tailored software applications to enable digital transformation.

The company’s revenue from operations increased by 11.96% from ₹291.03 crore in Fiscal 2023 to ₹325.85 crore in Fiscal 2024. Profit after tax increased by 24.05% from ₹46.64 crore in Fiscal 2023 to ₹57.85 crore in Fiscal 2024. For the three months ended June 30, 2024, revenue from operations stood at ₹88.24 crore, and profit after tax stood at ₹14.09 crore.

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