Digilogic Systems IPO

About Digilogic Systems IPO

The Digilogic Systems IPO opens on Tuesday, Jan 20, 2026 and closes on Thursday, Jan 22, 2026. The allotment of shares will take place on Friday, Jan 23, 2026. The credit of shares to the demat account will take place on Tuesday, Jan 27, 2026. The initiation of refunds will take place on Tuesday, Jan 27, 2026. The listing of shares will take place on Wednesday, Jan 28, 2026.

The IPO of Digilogic Systems consists of both a fresh issue and an offer for sale component. The fresh issue will include 0.67 crore shares aggregating to ₹69.68 crores. The offer for sale portion includes 0.11 crore shares aggregating to ₹11.33 crores. The total number of shares and aggregate amount are 77,89,196 shares (agg. up to ₹81 crores).

Digilogic Systems’ IPO price band is set at ₹98 to ₹104 per share. The lot size for an application is 1,200. The minimum amount of investment required by an individual investor (retail) is ₹2,49,600 (2,400 shares) (based on upper price). The minimum lot size for investment in HNI is 3 lots (3,600 shares), amounting to ₹3,74,400.

Digilogic Systems has over 18 years of experience in providing systems and solutions to clients in the defence and aerospace sectors. Their portfolio of offerings includes radar simulators, automated test systems for aircraft programmes, and validation systems for satellite payloads. They work in close coordination with client technical teams at various stages of the project lifecycle to ensure adherence to prescribed functional specifications, quality benchmarks, and regulatory requirements.

Objectives of Digilogic Systems IPO

• Capital expenditure towards setting up of a proposed new facility.
• Pre-payment or repayment, in part or in full, of certain outstanding borrowings availed by the company.
• General corporate purposes.

Industry Outlook

The India Critical Test, Measurement, and Simulation Technologies market is on an accelerated growth path, projected to expand from ₹4,799 crores in FY’25 to ₹9,174 crores by FY’30, at a CAGR of 13.8%. This momentum is driven by the Government’s strong push for defence indigenisation, rising R&D investment, and the modernisation of validation infrastructure across DRDO, ISRO, and the Armed Forces. Among the key segments, Avionic Test Systems (ATS) and Automated Test Equipment (ATE) will remain the key growth segments due to their sizeable markets owing to growing deployment in indigenous aircraft & missiles programmes, electronics manufacturing, and advanced radar systems. As the Indian defence sector modernises its testing infrastructure and shifts towards automated and integrated test environments, the demand for advanced and customised TMS solutions is expected to rise sharply, offering a lucrative opportunity for specialised solution providers like Digilogic Systems.

Company Information

Digilogic Systems is a technology-led company engaged in the design, development, integration, manufacturing, supply, and support of Automated Test Equipment (ATE) systems, radar and Electronic Warfare environmental simulators, application software, and embedded signal processing solutions for the defence and aerospace engineering sector. They generally receive purchase orders either directly from government entities through the tendering process or indirectly via third-party vendors supplying to government entities.

They have established long-standing relationships with key institutions within India’s defence and aerospace ecosystem, where their solutions have been deployed as part of core projects. They are empanelled as a design partner with the Defence Communication and Planning Programme (“DcPP”), which reflects their recognised technical competence and the confidence placed in their capabilities by sector stakeholders. This role entails innovation, compliance with stringent technical and quality standards, and integration with mission-critical applications, which in turn provides them with enhanced visibility and access to larger opportunities in the sector.

At the international level, they have entered into arrangements with overseas entities for technical know-how sharing, which supports co-development of specialised systems. In addition, they have executed memoranda of understanding (MoUs) with foreign and domestic entities for development in the areas of system integration and export.

Strengths of Digilogic Systems IPO

• Experience in delivering defence and aerospace systems.
• Strong industry relationships and international collaborations.
• End-to-end solution capabilities.
• Reusable engineering platforms for efficient delivery.
• Professional and experienced leadership team with technical and industry expertise.

Risks of Digilogic Systems IPO

• Loss of one or more of their key customers or a reduction in the demand for their products.
• Any adverse changes in the conditions affecting the Critical Test, Measurement, and Simulation Technologies Market.
• A decline or reprioritisation of the Indian defence or space budget, reduction in orders, termination of existing contracts, delay of existing or anticipated contracts or programmes, or any adverse change in the GoI’s defence or space-related policies.
• Any failure to comply with the provisions of the contracts entered into with their customers, especially the GoI Entities.
• Failure or disruption of their information and technology (“IT”) systems.

*Financial information for Digilogic Systems and listed industry peers mentioned above is on a consolidated basis and is sourced from the Industry Report dated January 05, 2026 issued by Ken Research Private Limited.

Notes:
a) The figures for Digilogic Systems are as certified by M/s. B Srinivasa Rao & Co., Chartered Accountants, Statutory Auditor of Digilogic Systems pursuant to their certificate dated January 12, 2026.
b) The figures for the Peer Group are based on / computed based on the Financial Information present in the Annual report for the year ended March 31, 2025
c) Current Market Price (CMP) is the closing price as on January 09, 2026 and is sourced from www.bseindia.com. For Digilogic Systems, CMP = Offer Price
d) P/E Ratio has been computed based on the CMP as divided by the Basic EPS as on March 31, 2025
e) RoNW has been computed by dividing restated net profit after tax with the average restated Net worth of beginning and the end of the year / period
f) The Offer Price determined by Digilogic Systems in consultation with the BRLM is justified by Digilogic Systems in consultation with the BRLM on the basis of the above parameters.
g) The face value of Digilogic Systems’ equity shares is ₹2/- per share and the Offer Price is of ₹ [-] per share is [-] times of the face value
h) Listed peers are as identified by us on the basis of similar industry / sector as Digilogic Systems, however the peers may not be comparable with the size of Digilogic Systems. The peers provide a wide range of products / services in addition to bushings.

Anchor Investor Bidding Date: Monday, January 19, 2026*

*Our Company, in consultation with the BRLM, may consider participation by Anchor Investors in accordance with the SEBI ICDR Regulations. The Anchor Investor Bid/Offer Period shall be one Working Day prior to the Bid/Offer Opening Date.

• Registrar: KFin Technologies Limited
• Book Running Lead Managers: Indorient Financial Services Limited

Digilogic Systems Business Model

The company earns its revenue through the following: Designing, development, manufacturing, assembling, integration, and support of test systems, system software, and embedded signal processing solutions. Their offerings are organised into three segments:
(i) Test Systems, which include Automated Test Equipment, Checkout Systems, and Radar/EW Simulators;
(ii) Application Software, comprising data acquisition platforms and IP cores; and
(iii) Services, providing system integration, upgrades, and lifecycle support.

Digilogic Systems Growth Trajectory

(Restated Data) Digilogic Systems’ Total Income changed from ₹56.116 crores in fiscal 2023 to ₹51.713 crores in fiscal 2024 to ₹72.193 crores in fiscal 2025.

Their restated Profit After Tax changed from ₹2.175 crores in fiscal 2023 to ₹2.400 crores in fiscal 2024 to ₹8.113 crores in fiscal 2025.

Their EBITDA stood at ₹5.276 crore in financial year 2023 compared to ₹5.444 crore in financial year 2024, and ₹13.400 crore in financial year 2025, respectively.

Digilogic Systems Market Position

As of FY’25, Digilogic addresses a Serviceable Obtainable Market (SOM) of ₹72 crores, contributing ~1.5% of India’s serviceable TMS market. By FY’30, this opportunity is expected to grow to ₹250 crores, supported by its scalable technology platforms and expanding demand for embedded testing, simulation environments, and digital validation tools.

To further strengthen its capabilities and cater to this rising demand, Digilogic Systems is planning to set up a dedicated facility for the manufacturing of electronic sub-systems and environmental testing. This will enable the company to offer comprehensive in-house design-to-validation solutions, support faster product development cycles, and meet the high-reliability requirements of mission-critical defence and aerospace programmes. With its domain expertise, agile development capabilities, and deep government linkages, Digilogic Systems is well-positioned to emerge as a core enabler in India's strategic electronics value chain, supporting both domestic needs and global defence collaborations (Source: Ken Research Report).

As of 31 March 2025, the company’s Total Income, Profit After Tax, and EBITDA were ₹72.193 crores, ₹8.113 crores, and ₹13.400 crores, respectively.

How to apply for Digilogic Systems IPO?

• Step 1: Log in to your Kotak Neo Demat account - Log in to your Demat account to access IPO investments. Next, select the current IPO section.
• Step 2: Specify IPO details - Enter the number of lots and the price you wish to apply for.
• Step 3: Enter UPI ID - After entering your UPI ID, click submit. This will place your bid with the exchange.
• Step 4: Mandate Notification - Your UPI app will receive a mandate notification to block funds.
• Step 5: Approve Request - Your funds will be blocked once you approve the mandate request on your UPI.