TechD Cybersecurity (formerly Techdefence Labs Solutions), a CERT-In empanelled cybersecurity company, is coming up with its IPO on the NSE Emerge platform between 15–17 September 2025. The issue size is INR 36.97 – 38.99 crore, entirely a fresh issue of 20.20 lakh shares, with no offer for sale. The price band is fixed at INR 183 – 193 per share, and the company will list on 22 September 2025.
The Ahmedabad-based company has grown rapidly in just eight years, carving a niche as a comprehensive cybersecurity solutions provider. Its dual business model – high-margin services and long-term training programs – makes it a rare play in India’s cybersecurity landscape.
TechD Cybersecurity IPO Review: Company Overview
Founded in 2017 by cybersecurity expert Sunny Piyushkumar Vaghela, TechD Cybersecurity provides end-to-end solutions to secure enterprises in the digital age. The company has 126 employees (as of Feb 2025) and serves domestic and international clients across industries like BFSI, NBFCs, manufacturing, education, healthcare, aviation and government institutions.
- Cybersecurity Services – From vulnerability testing and compliance consulting to 24×7 threat monitoring and incident response, TechD is your one-stop partner to strengthen your digital defenses.
- Training & Education – In partnership with universities (e.g., Parul University, Silver Oak University), it runs B.Tech, M.Tech and diploma programs in cybersecurity, along with corporate training and certifications.
- OEM Partnerships – The company integrates global tools like CrowdStrike, Palo Alto, Zscaler, Trend Micro, Seqrite and Securonix into client ecosystems and offers managed services around them.
The company has clients like Adani Group, Zensar Technologies, Astral Ltd., Kedia Capital, and global names like ETO Gruppe GmbH and IQM Corporation. In short, TechD Cybersecurity helps organizations prevent data breaches, comply with regulations, manage cyber risks and build talent pipelines—a 360° solution in a sector where threats and opportunities are growing at double-digit rates globally.
TechD plans to expand into Southeast Asia, Middle East, Europe and North America where regulatory frameworks like GDPR are driving enterprise cybersecurity spending. The company will set up regional offices and local partnerships to tap these markets.
TechD Cybersecurity IPO Analysis: Business Model
TechD has built a two-pronged business model that generates revenues from both services (~84% of FY25 revenue) and trainings (~16%). This diversified model reduces dependence on a single stream and provides both recurring income and long-term scalability.
A. Services Vertical
- VAPT (Vulnerability Assessment & Penetration Testing)
- Identifies and fixes loopholes across web, mobile, cloud, thick client applications, networks, and source code.
- Tools: Nessus, Qualys, Burp Suite, Metasploit, SonarQube, Fortify.
- Provides recurring demand as enterprises must conduct periodic audits for compliance.
- Security Operations Center (SOC)
- 24×7×365 monitoring of client systems using SIEM and UEBA platforms.
- Offers real-time threat detection, incident response, and threat hunting.
- Key for clients who lack in-house expertise but need round-the-clock vigilance.
- Compliance Services
- Helps organizations meet frameworks like SEBI, RBI, ISO 27001, HIPAA, GDPR.
- Includes audits, policy development, gap analysis, and implementation support.
- Growing regulatory pressure ensures steady demand from BFSI, healthcare, and government clients.
- Specialized Services
- High-value offerings: V-CISO, Red Teaming, Breach Simulations, Cyber Forensics, Cyber Insurance advisory, Cyber Lab Establishment, Hardware Security Assessments.
- Focused on enterprises facing complex, high-risk cyber challenges.
- Staff Augmentation
- Deploys skilled professionals (SOC Analysts, SIEM Engineers, GRC resources) on contract.
- Addresses the industry-wide cybersecurity talent shortage.
- MSSP (Managed Security Services Provider)
- Provides managed solutions around OEM products (CrowdStrike, Palo Alto, Trend Micro, etc.).
- Revenue stream combines integration, implementation, and ongoing managed support.
- Cyber Program Managed Services
- Bundled offering combining VAPT, SOC, compliance, and governance.
- Aimed at enterprises preferring end-to-end outsourced cybersecurity management.
This vertical offers recurring, annuity-style revenues (SOC, MSSP, Compliance) along with project-based, high-margin assignments (VAPT, Red Teaming, Forensics). The combination provides both stability and growth.
B. Trainings Vertical
- University Partnerships
- Degree and diploma programs (B.Tech, M.Tech, MSc, Diploma in Cybersecurity).
- Long-term contracts with universities ensure steady inflows.
- Corporate Training
- Cyber awareness workshops, ISO auditor/implementer courses, short-term certifications.
- Adds brand visibility and strengthens enterprise relationships.
While smaller in contribution (~16%), this segment ensures strategic advantage by feeding skilled professionals into both TechD’s internal teams and client ecosystems. It also strengthens the brand’s positioning as a knowledge leader.
TechD Cybersecurity IPO Review: Revenue Stream Analysis
TechD’s revenue has grown not just in size but also in diversification across geographies, segments, industries, and client types.
A. Geography-Wise Revenue
| Geography | FY 2023 | (%) | FY 2024 | (%) | FY 2025 | (%) |
|---|---|---|---|---|---|---|
| Domestic | 6.85 | 90.65 | 14.30 | 94.92 | 25.01 | 83.95 |
| International | 0.71 | 9.35 | 0.77 | 5.08 | 4.78 | 16.05 |
| Total | 7.56 | 100 | 15.07 | 100 | 29.80 | 100 |
- Domestic remains dominant, but international revenue jumped 6x in FY25 (INR 4.78 Cr vs INR 0.77 Cr in FY24), showing early traction in markets like UAE, USA, Kenya.
- Gujarat & Maharashtra contribute ~73% of domestic revenue, highlighting strong regional base but also concentration risk.
B. Segment-Wise Revenue
| Segment | FY 2023 | (%) | FY 2024 | (%) | FY 2025 | (%) |
|---|---|---|---|---|---|---|
| Services | 6.08 | 80.45 | 12.99 | 86.18 | 25.00 | 83.89 |
| Trainings | 1.48 | 19.55 | 2.08 | 13.82 | 4.80 | 16.11 |
| Total | 7.56 | 100 | 15.07 | 100 | 29.80 | 100 |
- Services dominate (~84%), but trainings scaled 2.3x in FY25, reflecting strong demand for cybersecurity education.
- The dual revenue structure offers recurring annuity income from services + strategic edge from training vertical.
C. Service-Wise Revenue (FY25 vs FY24 vs FY23)
| Service Segment | FY 2023 | (%) | FY 2024 | (%) | FY 2025 | (%) |
|---|---|---|---|---|---|---|
| VAPT | 2.24 | 50.28 | 2.69 | 17.86 | 5.98 | 20.06 |
| Cyber Program Mgmt | 2.46 | 9.63 | 6.47 | 42.90 | 5.63 | 18.91 |
| SOC | 0.72 | 0% | 1.29 | 8.58 | 7.06 | 23.71 |
| Compliance | 0.19 | 3.83 | 0.58 | 3.87 | 2.42 | 8.12 |
| Staff Augmentation | 0.42 | 11.73 | 1.94 | 12.90 | 2.39 | 8.04 |
| Specialized | 0.05 | 8.83 | 0 | 0 | 1.36 | 4.57 |
| Total Services | 6.08 | 84.83 | 12.99 | 86.18 | 24.85 | 83.41 |
| Training (Univ. + Corp.) | 1.48 | 15.17 | 2.08 | 13.82 | 4.94 | 16.59 |
| Total Revenue | 7.56 | 100 | 15.07 | 100 | 29.80 | 100 |
- SOC revenue surged 5.5x in FY25, now the largest single contributor (23.7%).
- VAPT remains steady core (~20%), driven by compliance demand.
- Compliance & Staff Augmentation scaled rapidly, highlighting enterprise reliance on outsourced talent & regulatory needs.
- Training vertical almost doubled, with university partnerships (INR 4.22 Cr) driving growth.
D. Industry-Wise Revenue (FY25)
| Sector | FY 2023 | (%) | FY 2024 | (%) | FY 2025 | (%) |
|---|---|---|---|---|---|---|
| IT/ITES | 0.92 | 12.2 | 3.43 | 22.7 | 10.79 | 36.2 |
| Education | 1.45 | 19.2 | 6.42 | 42.6 | 5.18 | 17.4 |
| BFSI | 0.80 | 10.6 | 1.80 | 12.0 | 5.41 | 18.2 |
| Manufacturing | 0.85 | 11.3 | 1.09 | 7.3 | 3.07 | 10.3 |
| Consultancy | 0 | 0 | 0.20 | 1.3 | 2.54 | 8.5 |
| Others | 3.54 | 46.7 | 2.13 | 14.1 | 2.82 | 9.5 |
- IT/ITES + BFSI = >50% of FY25 revenues, showing focus on digital-first, high-regulation industries.
- Education revenue share dipped from 43% → 17%, as services diversified beyond academia.
- Consultancy emerged as a new vertical (~INR 2.54 Cr), indicating expansion into advisory-heavy projects.
TechD Cybersecurity IPO Analysis: Financial Performance
| Particulars | FY 2023 | FY 2024 | FY 2025 | CAGR (FY23–25) |
|---|---|---|---|---|
| Revenue from Operations | 7.56 | 15.07 | 29.80 | 96% |
| Total Income | 7.59 | 15.36 | 30.23 | – |
| EBITDA | 1.36 | 4.91 | 12.24 | 200% |
| EBITDA Margin (%) | 17.9 | 32.0 | 40.5 | – |
| PAT | 0.94 | 3.24 | 8.40 | 232% |
| PAT Margin (%) | 12.5 | 21.5 | 28.2 | – |
| RoNW (%) | 86.4 | 101.9 | 62.3 | – |
| RoCE (%) | 40.3 | 72.1 | 54.3 | – |
| Debt/Equity | 1.05 | 0.38 | 0.01 | – |
Key Takeaway:
- Revenue almost quadrupled in 2 years, with PAT margins expanding from 12.5% → 28.2%, showing operating leverage at scale.
- EBITDA margins improved steadily (18% → 40%), reflecting high-margin services mix (SOC, compliance, training).
- Balance sheet deleveraged → Debt/Equity now 0.01, positioning TechD Cybersecurity as virtually debt-free pre-IPO.
- RoNW, though moderating to 62%, remains well above peers (TAC 26%, Sattrix 11%).
TechD Cybersecurity IPO Review: Competitive Strengths
- Qualified & Experienced Promoters
- Founder Sunny Vaghela, known for handling high-profile cybercrime cases (26/11, Ahmedabad blasts), adds credibility.
- A high promoter holding of 86.17% pre-IPO reflects strong commitment and alignment of interests with shareholders.
- Backing by marquee investor Vijay Kedia (7.2%) further enhances investor confidence.
- Integrated Cybersecurity Offering
- Full-stack services: Preventive (VAPT, Compliance), Real-time (SOC, MSSP), Strategic (Cyber Program Mgmt, V-CISO), Remedial (Forensics, Breach Simulations), and Human capital (Staff Augmentation, Training).
- Provides end-to-end solutions under one contract, reducing client churn.
- Continuous Talent Supply
- Severe talent shortage in cybersecurity: Industry reports highlight a global shortfall of 3.5 million professionals.
- TechD’s university partnerships (Parul University, Silver Oak University) generate a steady pipeline of graduates in cybersecurity (B.Tech, M.Tech, MSc).
- Corporate training programs (ISO Lead Auditor, Cybersecurity Awareness) keep professionals upskilled.
- OEM Partnerships
- Deep collaborations with CrowdStrike, Zscaler, Palo Alto, Trend Micro, enhancing credibility and cross-sell potential.
Shareholding & Promoter Holding
As of the date of the Red Herring Prospectus, the promoter and key shareholders hold a dominant stake in TechD Cybersecurity.
| Shareholder | Equity Shares | % of Pre-Issue Capital |
|---|---|---|
| Sunny Piyushkumar Vaghela | 47,04,650 | 86.17 |
| Vijay Kishanlal Kedia | 3,93,100 | 7.20 |
| Ativir Financial Services | 68,400 | 1.25 |
| Total (≥1% holders) | 51,66,150 | 94.63 |
The high promoter holding indicates strong commitment, while the presence of ace investor Vijay Kedia adds institutional credibility to the IPO. Post-issue, promoter shareholding will dilute, but they will remain the majority stakeholders.
Vijay Kedia’s Conviction on Cybersecurity Stocks
Vijay Kedia’s interest in cybersecurity is evident from his stakes in TAC Infosec and TechD Cybersecurity. He holds 10.95% in TAC Infosec (Ankit Kedia 3.65%), which was issued at INR 106 in April 2024 and surged to INR 1,671.50 by January 2025—over 15x growth. On the same conviction, he has taken a 7.2% stake in TechD Cybersecurity, whose IPO opens in September 2025. With TAC positioned as a SaaS-led play and TechD focused on managed security services, compliance, training, and a Global Security Operations Center, Kedia is placing a strong thematic bet that TechD, like TAC, could also emerge as a multibagger.
Valuation & Peer Comparison
TechD Cybersecurity is being compared with listed peers like TAC Infosec and Sattrix Information Security.
| Company | CMP | EPS | P/E | RoNW (%) | NAV/Share | Total Income |
|---|---|---|---|---|---|---|
| TAC Infosec | 1,095.85 | 13.63 | 80.40 | 26.10 | 52.71 | 32.20 |
| Sattrix Info Sec | 185.85 | 6.27 | 29.64 | 11.08 | 53.72 | 45.07 |
| TechD Cybersecurity | [IPO Price: INR 183–193] | 16.44 | ~11.1 – 11.7 | 37.93 | 40.55 | 30.23 |
Key Takeaway:
- At the upper band (INR 193), TechD is valued at P/E of ~11.7x, which is a steep discount to peers like TAC (80x) and Sattrix (30x).
- With RoNW at 38%, TechD Cybersecurity outperforms both TAC (26%) and Sattrix (11%), indicating strong efficiency in deploying equity capital.
- Its NAV at INR 40.55 per share offers a solid asset backing relative to the issue price.
TechD Cybersecurity IPO Analysis: Risk Factors
Despite strong fundamentals, investors should note key risks:
- Client Concentration Risk: Gujarat and Maharashtra together contribute over 70% of domestic revenues. Regional dependency could pose a challenge in case of slowdown or local disruptions.
- Talent Retention Challenge: While TechD Cybersecurity has a strong pipeline, cybersecurity is a high-churn industry where retaining senior professionals may remain difficult.
- Competition from Global Players: As TechD Cybersecurity expands internationally, it will face stronger competition from established MNC cybersecurity firms with deeper resources.
Conclusion
TechD Cybersecurity presents itself as one of the most compelling SME IPOs of 2025, combining explosive financial growth (96% revenue CAGR in 2 years), industry tailwinds, high-margin scalable services, strong promoter credibility, and marquee clients. Its integrated service offering, CERT-In empanelment, and OEM partnerships provide structural advantages that smaller peers lack.
Valuation-wise, the IPO appears attractively priced at ~11–12x P/E, compared to peer multiples of 30x–80x. With strong demand visibility in cybersecurity, near debt-free status, and a robust capital deployment plan (talent + SOC expansion), TechD Cybersecurityis well-positioned for both short-term listing gains and long-term compounding. For more details related to IPO GMP, SEBI IPO Approval, and Live Subscription, stay tuned to IPO Central.