In a significant development in the Indian cloud technology landscape, ESDS Software Solution has filed its Draft Red Herring Prospectus (DRHP) with SEBI for an Initial Public Offering (IPO) comprising a fresh issue of equity shares aggregating up to INR 600 crore. The Nashik-headquartered company, known for its AI-enabled cloud, managed services, Data Centre infrastructure, and software solutions, is poised to make a bold entry into the capital markets.
ESDS Software: IPO Details
- Issue Size: Fresh issue of up to INR 600 crore. No Offer for Sale (OFS) component
- Lead Manager: DAM Capital Advisors Limited and Systematix Corporate Services Limited
- Registrar: MUFG Intime India Pvt. Ltd.
- Listing On: BSE and NSE
- Use of IPO Proceeds:
- Purchase and installation of cloud and Data Centre equipment – INR 480.73 crore.
- The remaining balance will be used for General corporate purposes.
ESDS Software: Promoters
The company is promoted by Mr. Piyush Prakashchandra Somani, Mrs. Komal Piyush Somani, and the P.O. Somani Family Trust. Mr. Somani is the Chairman and Managing Director and brings nearly two decades of experience in IT infrastructure and cloud technologies.
ESDS Software Solution: Business Overview
ESDS Software is a leading end-to-end cloud and managed services provider, offering a broad portfolio that spans:
- Infrastructure as a Service (IaaS): Including colocation and Data Centre services, public/private/community clouds, and hybrid cloud platforms.
- Managed Services: 24/7 IT support, disaster recovery, security operations, and cloud migration.
- Software as a Service (SaaS): Data Centre management, vulnerability scanners, web firewalls, and more.
Its eNlight Cloud platform, a patented autoscaling cloud technology, optimizes client performance and cost, setting ESDS apart in a competitive landscape.
ESDS Software: Operational Footprint
- Data Centres: 4 Tier-3 certified centers across Nashik, Navi Mumbai, Bengaluru, and Mohali.
- Total Area: Over 60,000 sq. ft.
- Customers: 1,398 and 1,465 clients as of 30 September 2024 and FY 2024.
Cybersecurity and SIEM Capabilities
ESDS Software has made considerable strides in the Security-as-a-Service (SECaaS) domain, managing:
- 7,025 devices across 129 clients
- 126,690 security alerts processed in January 2025
- 906 critical security advisories were issued in the same period
Their robust SIEM and vulnerability management services have become integral to enterprise and BFSI clients.
ESDS Software Solution: Financial Performance
| FY 2022 | FY 2023 | FY 2024 | H1 FY 2025 | |
| Revenue | 195.39 | 207.57 | 286.52 | 172.15 |
| EBITDA | 58.70 | 47.48 | 101.88 | 73.85 |
| EBITDA (%) | 30.05 | 22.87 | 35.56 | 42.90 |
| Net Income | (2.66) | (22.46) | 13.61 | 23.93 |
| Margin (%) | (1.36) | (10.82) | 4.75 | 13.90 |
| ROCE (%) | 6.33 | 0.84 | 14.53 | 11.18 |
| Revenue from Existing Customers (%) | 85.29 | 78.18 | 92.91 | 75.50 |
| Revenue from New Customers (%) | 14.71 | 21.82 | 7.09 | 24.50 |
ESDS Software: Revenue Mix and Growth
- IaaS was the primary revenue contributor in FY 2024 at 49.59%, driven by strong demand for cloud services.
- Managed Services contributed 27.06%, while SaaS stood at 23.35%.
- The company’s revenue retention rate surged to 128.24% in FY24, reflecting deeper customer engagement and upselling success.
Customer Base and Segments
| Segment | FY 2024 Revenue Share | H1 FY 2025 Revenue Share |
| BFSI (%) | 18.27 | 31.56 |
| Government (%) | 34.04 | 29.30 |
| Enterprises (%) | 47.69 | 39.14 |
Notable clients include government ministries, cooperative banks, public sector units, and private enterprises across sectors like healthcare, real estate, and manufacturing.
Key Partnerships and Government Recognition
- STPI Collaborations: Operating two STPI Data Centres in Bengaluru and Mohali.
- MeitY STQC Empanelment: Approved to offer public cloud, virtual private cloud, and government community cloud services.
- Policy Advocacy: Active involvement in shaping India’s cloud infrastructure policies through industry councils.
Final Word
ESDS Software stands at the intersection of digital infrastructure and enterprise cloud adoption. With strong public sector linkages, deep technical capabilities, and a rapidly improving financial profile, the IPO could attract institutional and retail investors looking to ride the India digital wave.
As the IPO process unfolds, market participants will closely track ESDS‘s valuation benchmarks, peer comparison, and investor roadshows to gauge sentiment and potential listing performance. For more details related to IPO GMP, and Live Subscription, stay tuned to IPO Central.