The defence and aerospace electronics maker is looking to raise ₹600 crore to ₹700 crore through the IPO
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Data Patterns (India) Ltd, a defence and aerospace electronics maker backed by former Blackstone India private equity co-head Mathew Cyriac, has filed its draft papers to raise around ₹600 crore- ₹700 crore through an IPO.
Mint first reported in July that the company had started work on its proposed IPO.
Data Patterns was founded by Srinivasagopalan Rangarajan and Rekha Murthy Rangarajan, who have been associated with the defence and aerospace electronics industry for more than three decades.
The IPO comprises a fresh fundraising of ₹300 crore, which will be used towards repayment of debt, funding working capital requirements of the company, upgrading and expansion of its Chennai facility, and other purposes.
Apart from the fresh capital raise, the IPO also consists of a secondary offer of shares by the promoters and employees of the company. Employees hold around 20% shares of the company. Mathew Cyriac’s Florintree Capital Partners LLP, which holds a 12.83% stake in the company, is not selling any share in the IPO. Cyriac had acquired the stake earlier in June.
Data Patterns is among the few vertically integrated defence and aerospace electronics solutions providers catering to the indigenously developed defence products industry. Its offerings cater to the entire spectrum of defence and aerospace platforms—space, air, land and sea. The company has design capabilities across the entire spectrum of strategic defence and aerospace electronics solutions, including processors, power, radio frequencies (RF) and microwave, embedded software and firmware and mechanical engineering.
Its products have found applications on various platforms and programmes such as the Tejas Light Combat Aircraft, Light Utility Helicopter, BrahMos missile programme, precision approach radars and various communications intelligence (COMINT) and electronic intelligence systems.
As of 31 July, the company had 760 employees with more than 450 engineers, including 383 members in the design and engineering department.
Its order book stood at ₹582.29 crore as on 31 July. Order book increased from ₹178.69 crore as on 1 April 2018 to ₹497.98 crore as on 31 March 2021 at a CAGR of 40.72%. CAGR is compound annual growth rate.
For FY21, the company reported revenue from operations of ₹223.95 crore, compared with a revenue of ₹156 crore in the previous fiscal. Profit for FY21 stood at ₹54.6 crore, more than double of previous fiscal’s profit of ₹21 crore.