In a development that could reshape investor exposure to the organized cash logistics space in India, SIS Prosegur Holdings has submitted IPO papers with the Securities and Exchange Board of India (SEBI). If successful, this would be the first significant public issue from the segment in recent years. SIS Prosegur IPO will consist of a fresh issue of up to INR 100 crore and an offer-for-sale of 3.72 million equity shares by key promoter entities.
SIS Prosegur IPO – Business Overview
SIS Prosegur isn’t a startup story—it’s a seasoned operating business, formed in 2011 as a joint venture between SIS Limited, India’s security services leader, and Prosegur, the Spanish global security and cash management giant. What emerged was a uniquely structured and well-governed JV that has now matured into a scaled, profitable enterprise with nationwide operations.
The company has created a pan-India presence in the critical logistics of cash, serving banks, ATMs, retailers, and bullion dealers, at a time when physical currency still drives the transactional ecosystem in rural and semi-urban India. Despite growing digitization, cash continues to dominate, with the value of currency in circulation growing at a CAGR of ~10.4% between FY2019 and FY2024, compared to a modest ~3% CAGR in ATM growth (source: CRISIL).
While the industry is fragmented and largely dependent on individual service lines, SIS Prosegur has evolved into a fully-integrated cash logistics platform:
Revenue Breakdown – FY2024 (INR 633.83 Cr)
- Cash-in-Transit (CIT): INR 284.04 cr (44.81%)
- Retail Cash Management: INR 174.91 cr (27.60%)
- ATM Replenishment and FLM: INR 127.28 cr (20.08%)
- Cash Assistant Services: INR 12.55 cr (1.98%)
- New Solutions (Bundled, tech-enabled cash services): INR 35.02 cr (5.53%)
More notably, non-ATM services now contribute over 80% of revenues, a stark contrast to listed peers that still rely on ATM cash management as their dominant source of income.
New Solutions: The High-Growth Frontier
While the traditional services offer stability, the company’s bet on “New Solutions” is paying off. These include:
- Cash deposit machines with real-time alerts
- Bullion transport and storage
- End-to-end bank outsourcing solutions
- Retail cash flow automation
This vertical has grown at a CAGR of 33.64% from FY22 to FY24, contributing INR 46.16 crore in just the first nine months of FY25, highlighting the scalability and margin potential of this segment.
Promoters & Governance: Institutional Grade JV Structure
SIS Prosegur is not just another family-run enterprise. It is a rare example of a JV with institutional-grade governance, formed through carefully defined agreements between:
- SIS Limited (India’s leading security player, listed on NSE/BSE)
- Singpai Pte. Ltd., a Prosegur Cash subsidiary (Spain)
- Prosegur Cash S.A., a listed company on the Spanish stock exchanges and the world’s third-largest cash logistics player
As of filing:
- -SIS holds 39.31%
- Singpai (Prosegur arm) holds 49%
- Promoter group entity SMC Integrated holds 9.69%
This promoter profile offers both operational depth and global best practices, backed by decades of domain experience.
Use of the IPO Funding
The INR 100 crore from the fresh issue will be used for:
- INR 37.59 crore will be used for the purchase and fabrication of cash vehicles
- INR 29.81 crore will be used for debt repayment
- Remaining funds will be used for general corporate purposes (to be finalized post-pricing)
Financial Performance: Quietly Compounding
Over the last three fiscal years, the company has more than doubled its top line and grown net profits over 10x, showcasing strong operational leverage.
Key Financials
| Year | Revenue from Operations | PAT |
|---|---|---|
| FY22 | 392.59 | 4.75 |
| FY23 | 543.03 | 18.85 |
| FY24 | 633.83 | 50.16 |
| 9M FY25 | 529.86 | 38.74 |
The consistent improvement in profitability, especially with restrained equity dilution, reflects capital-efficient growth.
Client Base
SIS Prosegur’s clients include eight of the ten largest Indian banks, including SBI, HDFC, ICICI, and Axis Bank. Impressively, 80% of its top clients have been with the company for over a decade, indicating not just satisfaction but critical dependency.
Client segments include:
- Public and private sector banks
- NBFCs
- Retail chains and e-commerce companies
- Government undertakings
- High-value logistics (jewellery, bullion, pharma, etc.)
This diversification adds significant insulation to revenue cyclicality.
Final Word
SIS Prosegur IPO consists all the hallmarks of a steady compounder—deep moat, high client retention, revenue diversity, robust financials, and a growth runway aligned with macro trends in currency handling and bank outsourcing.
This is one of those listings that may quietly deliver consistent returns to investors who see value beyond valuation.
For more details related to IPO GMP, SEBI IPO Approval, and Live Subscription stay tuned to IPO Central.