Virtual Galaxy Infotech
Book Building issueSMENSE₹93.29 Cr issue
+26.76%
Listing gain over issue price
Issue size
₹93.29 Cr
1 lot at cut-off
₹1,42,000
Lot size
1,000shares
Open
09 May 2025
Close
14 May 2025
Allotment
15 May 2025
Listing
19 May 2025
Listing performance
Issue price
₹142
Listed at
₹180
Listing-day close
₹189
Latest price
₹130.25
Close on 23 Oct 2026
Listing gain
+26.76%
Return since issue
-8.27%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 09 May 2025 – 14 May 2025
- Listing date
- 19 May 2025
- Face value
- ₹10 per share
- Issue price
- ₹142 per share
- Lot size
- 1,000 shares
- Issue type
- Book Building issue
- Listing at
- NSE
- Total issue size
- ₹93.29 Cr
- Market cap at offer price
- ₹353 Cr
- Promoter holding
- 87.95% → 64.72% pre-issue → post-issue
- ISIN
- INE0VRH01015
- Registrar
- Maashitla Securities Pvt.Ltd.
- Lead managers
- Smart Horizon Capital Advisors Pvt.Ltd.
- Registered office
- 3, Central Excise Colony, Behind Mahatme Eye Bank, Chhatrapati Sq., Ring Road, Maharashtra
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 18,40,000 | — | — |
| Market maker | 3,36,000 | — | — |
Application size
Minimum 1,000 shares per lot, in multiples, at ₹142
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,000 | ₹1,42,000 |
| S-HNI (min) | 2 | 2,000 | ₹2,84,000 |
| S-HNI (max) | 7 | 7,000 | ₹9,94,000 |
| B-HNI (min) | 8 | 8,000 | ₹11,36,000 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Shares allocated
18,40,000
Anchor portion
₹26.13 Cr
at ₹142 per share
Valuation and performance
Valuation at offer price
₹142 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 9.04 | 6.65 |
| P/E (×) | 15.71 | 21.35 |
| Price to book (×) | 5.66 | — |
| Market cap | — | ₹353 Cr |
Key performance indicators
Latest reported period
- Return on net worth
- 39.95%
- ROCE
- 31.68%
- Debt / equity
- 0.93
- PAT margin
- 26.04%
- NAV per share
- ₹25.09
- Price to book
- 5.66
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Virtual Galaxy Infotech
Virtual Galaxy Infotech Limited, incorporated in 1997 and converted to a public limited company in September 2024, is engaged in the development, customization, installation, and implementation of software applications with comprehensive post-implementation support, monitoring, and maintenance services. The company is primarily focused on its Core Banking Software product E-Banker, which contributed 78.58% of revenue from operations for the period ended December 31, 2024. The company operates in three main segments: BFSI (93.19% of revenue), ERP (6.38%), and E-Governance (0.43%). The company generates revenue through project-based work for banks, government, and private sector clients, with significant concentration in Maharashtra (89.42% of revenue for December 31, 2024). The company has 329 employees as of December 31, 2024, and is headquartered in Nagpur, Maharashtra.
Company Analysis
from RHPVirtual Galaxy Infotech Limited is a SaaS product-focused software company providing Core Banking Software (E-Banker), IT Solutions, ERP Implementation, and Customized Software Solutions for the BFSI, ERP, and E-Governance sectors.
Virtual Galaxy Infotech Limited, incorporated in 1997 and converted to a public limited company in September 2024, is engaged in the development, customization, installation, and implementation of software applications with comprehensive post-implementation support, monitoring, and maintenance services. The company is primarily focused on its Core Banking Software product E-Banker, which contributed 78.58% of revenue from operations for the period ended December 31, 2024. The company operates in three main segments: BFSI (93.19% of revenue), ERP (6.38%), and E-Governance (0.43%). The company generates revenue through project-based work for banks, government, and private sector clients, with significant concentration in Maharashtra (89.42% of revenue for December 31, 2024). The company has 329 employees as of December 31, 2024, and is headquartered in Nagpur, Maharashtra.
Banking, Financial Services and Insurance (BFSI)Enterprise Resource Planning (ERP)E-GovernanceSoftware as a Service (SaaS)Information Technology Services
Objects of the Issue
- Capital expenditure towards setting up additional development facility in Nagpur, Maharashtra ₹3,426.83 lakhs p.28
- Repayment/prepayment of certain borrowings availed by our Company ₹300.00 lakhs p.28
- Investment in procuring GPU, server & storage system at Data Centre ₹505.00 lakhs p.28
- Funding of expenditure related to enhancement, maintenance and upgrading existing products through manpower hiring ₹1,890.00 lakhs p.28
- Funding for business development and marketing activities ₹1,406.00 lakhs p.28
- General corporate purposes p.28
- Capital expenditure towards setting up additional development facility in Nagpur, Maharashtra p.61
- Repayment/prepayment of certain borrowings availed by our Company p.61
- Investment in procuring GPU, server & storage system at Data Centre p.61
- Funding of expenditure related to enhancement, maintenance and upgrading existing products through manpower hiring ₹ 1,890.00 Lakhs p.61
- Funding for business development and marketing activities ₹ 1,406.00 Lakhs p.61
- General corporate purpose p.61
- Capital expenditure towards setting up additional development facility in Nagpur, Maharashtra ₹3,426.83 Lakhs p.120
- Repayment/prepayment of certain borrowings availed by our Company ₹300.00 Lakhs p.120
- Investment in procuring GPU, server & storage system at Data Centre ₹505.00 Lakhs p.120
- Funding of expenditure related to enhancement, maintenance and upgrading existing products through manpower hiring ₹1,890.00 Lakhs p.120
- Funding for business development and marketing activities ₹1,406.00 Lakhs p.120
- General corporate purposes [●] p.120
- Repayment of borrowings ₹300.00 Lakhs p.288
- To be utilized for capital expenditure (capex) and general corporate purposes including expansion of facilities and working capital requirements p.334
Issue Structure
- Total Issue
- Up to 65,70,000 Equity Shares aggregating ₹[●] Lakhs
- Fresh Issue
- Up to 65,70,000 Equity Shares of face value of ₹10/- each fully paid for cash at a price of ₹[●] per Equity Share aggregating ₹[●] Lakhs
- Offer for Sale
- Not Applicable - entire issue constitutes fresh issue of equity shares
- Price Band
- Price Band of a minimum price (Floor Price) of ₹[●] and the maximum price (Cap Price) of ₹[●]
- Lot Size
- [●] Equity Shares and in multiples of [●] Equity Shares thereafter
- Face Value
- ₹10/- per Equity Share
Business Model
The company earns revenue through development, customization, installation and implementation of software applications and provision of post-implementation support, monitoring and maintenance services. Revenue is generated primarily through project-based engagements with banks, government and private sector clients in the BFSI, ERP and E-Governance sectors. The company's core product E-Banker, a Core Banking Software solution, accounted for 78.58% of revenue from operations for the period ended December 31, 2024.
Business Segments
Core Banking Software Solution and IT services for banking and financial institutions
ERP Implementation and customized software solutions
E-Governance solutions and IT services
Provides core banking solution E-Banker designed specifically for banks, societies, and NBFCs
A fully web-based, real-time, and centralized regulatory compliance core banking solution designed for corporate and retail banking automation. Manages millions of transactions daily across numerous bank branches and enhances customer service experience with centralized MIS.
Integrated Business Suite (IBS) is an ERP software designed to integrate all core functions essential for running a company, including finance, HR, manufacturing, services, supply chain and procurement.
A web-based e-auction, tendering and office automation software for Agricultural Produce Market Committees (APMCs) built to incorporate business rules defined in the APMC act with workflow-based system and role-based access.
A comprehensive enterprise digital payment solution enabling cashless transactions with simplicity, offering a consolidated platform for various payment receipt channels including UPI Payments, Aadhaar Pay, and BBPS.
Provides network connectivity solution and managed services, enabling customers to focus on core business while enhancing IT department efficiency and system security.
Provides a comprehensive automation solution for the post-mortem departments of recognized hospitals.
Facilitates seamless GST compliance by offering tools for filing returns, generating e-invoices, eWay Bills and integrating data with the GSTN.
A complete software for creation and processing of loan applications including KYC norms, disbursement of loans, recording and maintenance of requisite documentation and monitoring of loan cases.
Sale of hardware and related services on a milestone basis.
Provides core banking solutions (E-Banker), payment platforms (V-Pay), loan origination systems, and anti-money laundering solutions to commercial banks, cooperative banks, NBFCs, and similar financial institutions.
Provides integrated ERP solutions (IBS-ERP) for various industries including textile manufacturing, sugar production, solvex processing, steel and casting units, education institutions, and seed/fertilizer businesses.
Provides e-governance solutions including e-APMC (e-Trading Platform for Agricultural Produce Market Committees) and post-mortem department automation software (E-Autopsy) for government institutions.
Provides core banking software solutions (E-Banker) to banks, microfinance institutions, and NBFCs, available on-premises or as SaaS
Supply, installation, implementation and maintenance of IT hardware with allied applications, network and security equipment, connectivity, core-banking solutions and switching services; VPAY Mobile Banking, IMPS & UPI Solutions; CBS support with add-on modules and new versions
SWOT Analysis
Strengths
- • Core Banking Software dominates revenue(p.41)
- • Strong profitability growth in FY2024(p.48)
- • Multiple quality certifications in information security(p.44)
- • Established client relationships and revenue concentration from top customers(p.42)
- • Significant skilled product development team(p.46)
- • Quality certifications and accreditations demonstrating commitment to standards(p.60)
- • Experienced promoters with long-standing business presence(p.60)
- • Diversified customer base across financial sector(p.60)
- • Established market position with 27+ years of operations(p.163)
- • High profitability and strong financial performance(p.166)
- • Diversified product portfolio across BFSI, ERP, and e-Governance domains(p.163)
- • Strong recurring revenue model with multiple revenue streams(p.166)
- • Quality certifications and compliance framework(p.163)
- • Flagship product E-Banker generates majority of revenue(p.165)
- • Strong return metrics with high profitability(p.166)
- • Significant order book visibility(p.166)
- • Comprehensive one-stop banking solution provider with integrated functionalities(p.167)
- • Diversified business across multiple verticals (BFSI, ERP, E-Governance)(p.167)
- • Multiple revenue streams (licenses, subscriptions, implementation, maintenance, SaaS)(p.168)
- • 26 years of industry experience with long-standing customer relationships(p.168)
- • Strong recurring revenue base from existing customers (ATS/AMC and SaaS)(p.169)
- • Experienced promoter team with 26+ years IT industry expertise and long company association(p.168)
- • Strong intellectual property portfolio with registered copyrights and trademarks(p.169)
- • Quality certifications demonstrating commitment to highest standards(p.169)
- • Established SaaS-focused business with diverse product portfolio(p.291)
- • Strong revenue growth with improved profitability(p.293)
- • High EBITDA margins demonstrating operational efficiency(p.293)
- • Significant order book of ₹4,729.08 lakhs providing revenue visibility(p.292)
- • Flexible revenue model with multiple streams (OTC, ARC, SaaS, hardware)(p.292)
- • Strong recurring revenue base with consistent growth trajectory(p.297)
- • Robust profitability margins and significant PAT growth(p.297)
- • Multiple ISO certifications and quality standards compliance(p.326)
- • Diversified intellectual property portfolio with registered trademarks and software copyrights(p.327)
- • Established presence in BFSI segment with key institutional customers(p.307)
Weaknesses
- • High dependence on few major clients(p.41)
- • Geographic revenue concentration in Maharashtra(p.43)
- • Sector concentration in BFSI(p.43)
- • Historical delays in statutory compliance(p.52)
- • Multiple outstanding tax litigations(p.31)
- • Property and data centre dependencies on lease arrangements(p.49)
- • Trademark not yet registered(p.50)
- • High employee attrition rates(p.51)
- • High dependence on a very limited number of suppliers(p.53)
- • Top 10 suppliers contribute disproportionately high percentage of purchases(p.53)
- • Substantial unsecured borrowings repayable on demand creating cash flow risk(p.56)
- • High financial indebtedness and covenant restrictions on operations(p.56)
- • Negative cash flows from investing activities over multiple years(p.59)
- • Working capital intensive business requiring sustained funding(p.59)
- • Contingent tax liabilities with uncertain outcomes(p.60)
- • Compliance failures and delayed regulatory filings requiring corrective measures(p.53)
- • Heavy dependence on single product line(p.165)
- • Concentration of customer base in specific sector(p.165)
- • High financial leverage with significant debt burden(p.125)
- • Limited geographic diversification(p.165)
- • Small employee base vulnerable to key person dependency(p.127)
- • Significant capital expenditure requirements for facility expansion(p.122)
- • Heavy dependence on top customers for revenue concentration(p.182)
- • Current office infrastructure already stretched beyond capacity(p.169)
- • Heavy reliance on empanelled vendor relationships without long-term contracts(p.180)
- • Limited ownership of physical infrastructure and properties(p.183)
- • Dependence on leased premises including from related party(p.169)
- • Substantial dependency on single core banking software product for majority of revenues(p.294)
- • Moderate debt levels affecting financial flexibility(p.293)
- • Contingent liabilities from direct tax matters of ₹3,732.09 lakhs(p.285)
- • Dependence on ability to customize software per customer requirements(p.294)
- • High dependence on limited customer base(p.307)
- • Significant GST tax disputes and contingent liabilities(p.310)
- • Outstanding tax demands against promoters and company personnel(p.313)
- • Concentration of revenue in specific geographic location and from BoT projects(p.297)
Opportunities
- • IT industry growth tailwind in India(p.28)
- • Large untapped internet user base in India(p.28)
- • Expansion into African markets(p.46)
- • Asia Pacific market penetration(p.46)
- • Product development and enhancement(p.44)
- • Funding for business development and marketing(p.46)
- • Expansion into new geographical regions within India and internationally(p.60)
- • Geographic diversification to emerging markets(p.60)
- • Product enhancement and technology upgrades funded by IPO proceeds(p.61)
- • Business development and marketing expansion using IPO capital(p.61)
- • Expansion into African markets with growing BFSI digital transformation needs(p.132)
- • Growth in India's BFSI sector driven by digital banking adoption(p.131)
- • SEZ benefits for new development facility(p.122)
- • Expansion of product portfolio with newer solutions(p.163)
- • Enhancement of existing products with AI/ML capabilities(p.128)
- • Market expansion into new geographical regions within India(p.132)
- • Penetration of Asia-Pacific market with developing banking sectors(p.132)
- • Expansion to international markets, particularly Africa and Asia Pacific(p.169)
- • Expansion of domestic geographical footprint across additional Indian regions(p.169)
- • Workforce expansion from 329 to 500 employees within two years(p.169)
- • Development of owned facility at Mihan SEZ for scaling operations and export orientation(p.169)
- • Monetization of intellectual property through premium services and licensing(p.169)
- • Expansion of product and service offerings with enhanced maintenance and support(p.170)
- • Aggressive marketing strategy leveraging digital channels and partnerships(p.170)
- • Expansion of development facility at Mihan SEZ, Nagpur(p.294)
- • Data centre expansion to support growing cloud-based offerings(p.294)
- • Growing government and private sector client segments(p.294)
- • Expansion of software product portfolio including IBS-ERP and e-APMC(p.291)
- • International expansion through export revenues(p.286)
- • Expansion of software and SaaS revenue streams(p.296)
- • Growth through Build-Operate-Transfer (BoT) business model generating rental income(p.299)
- • Potential for migration to NSE Mainboard after meeting listing criteria(p.349)
- • Leveraging operational efficiency and margin improvement through capitalization strategy(p.298)
Threats
- • Risk of loss of major clients(p.41)
- • Competitive bidding process exposes to project losses(p.43)
- • Rapid technology changes and BFSI regulation shifts(p.44)
- • Data security and cyber threats(p.43)
- • Global economic and political uncertainties(p.27)
- • Foreign exchange and international expansion risks(p.51)
- • Risk of software defects and product quality issues(p.50)
- • Data centre and infrastructure dependency risks(p.49)
- • Competition for skilled IT professionals(p.51)
- • Highly competitive market from onshore and offshore providers(p.53)
- • Difficulty in attracting and retaining skilled IT personnel(p.54)
- • Global economic instability and market volatility affecting demand(p.64)
- • Currency exchange rate fluctuations impacting revenues and financial results(p.55)
- • Inflation pressures limiting ability to pass cost increases to customers(p.65)
- • Regulatory and compliance requirements becoming increasingly stringent(p.59)
- • Natural disasters, pandemics and geopolitical events causing operational disruption(p.64)
- • Intense competition in software and IT services sector(p.157)
- • Dependency on regulatory approvals for SEZ facility(p.124)
- • Technology obsolescence risk(p.127)
- • Cybersecurity threats and data protection risks(p.157)
- • Economic slowdown affecting customer spending on IT solutions(p.150)
- • Foreign exchange and currency fluctuation risks for exports(p.152)
- • Competitive pressure from both organized and unorganized players in market(p.182)
- • Customer concentration risk with top 5 customers representing 69.19% of revenue(p.182)
- • Regulatory changes in banking, fintech, and data protection sectors(p.188)
- • Data protection and privacy compliance obligations under DPDP Act 2023(p.189)
- • Potential business disruption from cyber threats and security breaches(p.183)
- • Dependency on major client orders from banks and financial sector(p.294)
- • Significant disruptions or data security breaches in IT systems(p.294)
- • Intellectual property protection risks(p.294)
- • Regulatory and licensing approval risks(p.294)
- • Talent retention challenges in competitive IT sector(p.294)
- • Software defects and technical errors leading to litigation and revenue delays(p.294)
- • Macroeconomic vulnerabilities to global economic conditions and India's sovereign rating(p.294)
- • Regulatory scrutiny and GST compliance challenges from government authorities(p.310)
- • Competitive conditions affecting market positioning(p.308)
- • Dependence on vendor supply for hardware products and pricing fluctuations(p.295)
- • Economic cycles and industry-specific risks affecting BFSI segment clients(p.307)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Avinash Narayanrao Shende | Promoter | 40.69% | — |
| Sachin Purushottam Pande | Promoter | 40.69% | — |
| Shilpa Avinash Shende | Promoter Group | 3.28% | — |
| Sampada Sachin Pande | Promoter Group | 3.28% | — |
| Sameer Pramod Salpekar | Promoter Group | 0.01% | — |
| Avinash Narayanrao Shende | Promoter | — | — |
| Sachin Purushottam Pande | Promoter | — | — |
| Avinash Narayanrao Shende | Promoter | 40.69% | — |
| Sachin Purushottam Pande | Promoter | 40.69% | — |
| Shilpa Avinash Shende | Promoter Group | 3.28% | — |
| Sampada Sachin Pande | Promoter Group | 3.28% | — |
| M/s. Nova Global Opportunities Fund PCC Touchstone | Shareholder | 1.03% | — |
| Sachin Purushottam Pande | Promoter | 40.69% | — |
| Avinash Narayanrao Shende | Promoter | 40.69% | — |
| Avinash N Shende | Promoter/Executive Director & CFO | 46.36% | — |
| Sachin P. Pande | Promoter/Managing Director | 46.36% | — |
| Sachin Purushottam Pande | Promoter cum Managing Director | — | — |
| Avinash Narayanrao Shende | Promoter cum Director and Chief Financial Officer (CFO) | — | — |
Leadership
Avinash Narayanrao Shende · Chairman and Chief Financial Officer
Sachin Purushottam Pande · Managing Director
Asit Oberoi · Non-Executive Director
Anjali Vinay Padhye · Company Secretary and Compliance Officer
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.
Virtual Galaxy Infotech IPO FAQs
What is the lot size of Virtual Galaxy Infotech IPO?
The minimum lot size of Virtual Galaxy Infotech IPO is 1,000 shares. One lot costs ₹1,42,000 at the cut-off price.
When does Virtual Galaxy Infotech IPO open and close?
Virtual Galaxy Infotech IPO opened for subscription on 09 May 2025 and closed on 14 May 2025.
What is the listing date of Virtual Galaxy Infotech IPO?
Virtual Galaxy Infotech IPO listed on 19 May 2025.