Armour Security India IPO Opens Today: ₹26.51 Crore Issue Priced at ₹55-57 Per Share
Armour Security India's ₹26.51 crore IPO opened today with shares priced at ₹55-57, featuring a 7% grey market premium. The security services company serves diverse sectors and showed strong financial growth with revenue rising to ₹36.56 crore in FY25 and profit after tax increasing to ₹3.97 crore. The issue will close on January 19 with market debut scheduled for January 22.
*this image is generated using AI for illustrative purposes only.
Armour Security India's initial public offering opened for subscription today, marking another entry in the SME segment. The ₹26.51 crore issue, structured entirely as a fresh offering, will accept applications until January 19, with the company scheduled to make its market debut on January 22.
IPO Structure and Pricing Details
The public offering is priced in a band of ₹55 to ₹57 per share, with shares carrying a face value of ₹10.00 each. The company is offering 46.5 lakh equity shares, with approximately ₹25.00 crore worth of shares available to the public after accounting for the market maker portion.
| Parameter: | Details |
|---|---|
| Issue Size: | ₹26.51 crore |
| Price Band: | ₹55.00 - ₹57.00 per share |
| Face Value: | ₹10.00 per share |
| Shares Offered: | 46.5 lakh equity shares |
| Subscription Period: | Until January 19 |
| Market Debut: | January 22 |
The allocation structure heavily favors retail and non-institutional investors. Nearly 47% of the issue is reserved for non-institutional investors, while retail investors account for close to 47% as well. The qualified institutional buyer portion represents just under 1%, which is typical for SME issues of this size. Retail participation requires a minimum application of 4,000 shares, translating to an investment of ₹2,28,000 at the upper end of the price band.
Market Sentiment and Grey Market Premium
Early market indicators show modest positive sentiment, with the grey market premium currently around 7% over the upper end of the price band. While SME IPO grey market premiums tend to be volatile and thinly traded, this premium suggests expectations of a stable listing rather than aggressive short-term gains.
Business Operations and Model
Armour Security India operates in the private security and facility management space, providing comprehensive security solutions across multiple sectors. The company offers armed and unarmed guarding services, integrated facility management, housekeeping, firefighting support, event security, and various manpower services.
The company's client base spans diverse sectors including:
- Corporate offices and industrial units
- Banks and financial institutions
- Healthcare institutions
- Educational campuses
- Government establishments
The business follows a manpower-heavy model, maintaining a relatively small permanent workforce of 37 employees while operating with a much larger contractual base of around 1,269 personnel as of February 2025. Management emphasizes that its pan-India presence and diversified service offerings help manage regional demand shifts and client-specific requirements.
Financial Performance
Armour Security India has demonstrated steady financial growth over recent years. The company's revenue trajectory shows consistent expansion, with total income rising from ₹28.97 crore in FY23 to ₹36.56 crore in FY25.
| Financial Metric: | FY23 | FY25 | Growth |
|---|---|---|---|
| Total Income: | ₹28.97 crore | ₹36.56 crore | 26.21% |
| Profit After Tax: | ₹2.26 crore | ₹3.97 crore | 75.66% |
| EBITDA (FY25): | - | ₹4.97 crore | - |
The profit after tax showed significant improvement, increasing to ₹3.97 crore in FY25 from ₹2.26 crore in FY23. The company reported EBITDA of ₹4.97 crore in FY25.
Fund Utilization Plans
The company has outlined specific plans for utilizing the IPO proceeds to support growth and strengthen its balance sheet. Around ₹15.90 crore will be allocated to fund working capital needs, reflecting the cash-intensive nature of manpower services. Additional funds will be directed toward capital expenditure for vehicles and equipment, repayment of borrowings worth approximately ₹2.40 crore, and general corporate purposes.
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