About the Business
Incorporated in August 2005, ESDS Software Solution Limited is an AI-enabled provider of cloud computing, managed services, data centre infrastructure, and software solutions in India. The company provides an end-to-end tech stack covering Infrastructure-as-a-Service (IaaS), Managed Services, and Software-as-a-Service (SaaS), catering to clients across BFSI, government, and enterprise segments.
ESDS operates five Tier 3 Data Centres across India covering over 75,266 sq. ft., backed by 24/7 disaster recovery infrastructure and redundant power architecture. Its IaaS stack offers colocation, private/public/hybrid cloud, and GPU-as-a-Service (GPUaaS). It also develops proprietary products like SWARAJ Cloud, featuring patented vertical cloud autoscaling technology.
- Comprehensive product ecosystem spanning IaaS, SaaS, managed IT services, and Security-as-a-Service (SECaaS).
- Robust operational footprint of 5 Tier 3 Data Centres serving over 2,501 enterprise, banking, and government clients.
- Proprietary and patented auto-scaling cloud platform (SWARAJ Cloud) built for AI workloads and data sovereignty.
- Experienced technical base with 993 employees across data centre operations, cloud infrastructure, R&D, and security management.
The company’s promoters are Piyush Prakashchandra Somani, Komal Piyush Somani, and P.O.Somani Family Trust.
Financial Overview
ESDS Software Solution Ltd. demonstrated robust growth, with revenue expanding by 28% and Profit After Tax (PAT) surging by 117% between FY25 and FY26.
| Metric (₹ Cr) | FY 2026 | FY 2025 | FY 2024 |
|---|---|---|---|
| Total Income | ₹480.65 | ₹376.64 | ₹292.14 |
| EBITDA | ₹234.23 | ₹154.89 | ₹101.88 |
| PAT (Profit After Tax) | ₹120.82 | ₹55.61 | ₹13.61 |
| Net Worth | ₹528.81 | ₹405.55 | ₹206.36 |
| Reserves & Surplus | ₹533.62 | ₹407.54 | ₹216.62 |
| Total Borrowings | ₹42.92 | ₹62.71 | ₹149.04 |
| Total Assets | ₹1,937.90 | ₹655.95 | ₹547.71 |
Restated Consolidated Figures | Source: RHP Filings
Key Financial Metrics (FY26)
Issue Reservation
| Investor Category | Allocation Limit |
|---|---|
| QIB Shares Offered | Not more than 50% of the Offer |
| Retail (RII) Shares Offered | Not less than 35% of the Net Issue |
| NII (HNI) Shares Offered | Not more than 15% of the Issue |
Objects of the Issue
The net proceeds from the ₹720.00 Cr 100% fresh issue are proposed to be utilized as follows:
- Purchase and installation of cloud computing, equipment, and infrastructure for Data Centres ₹576.00 Cr
- General Corporate Purposes Balance
ESDS Software Solution Limited offers a high-margin business profile (EBITDA margin of 49.60% and PAT margin of 25.59%) in the rapidly growing domestic cloud infrastructure, data centre, and AI compute (GPUaaS) segments.
With ₹576.00 Cr (80% of net proceeds) directed toward data centre infrastructure and cloud compute expansion, the company is positioning itself to capture expanding enterprise and public sector demand for sovereign AI cloud solutions. Supported by an almost debt-free balance sheet (Debt/Equity of 0.08) and strong return ratios (ROCE of 32.78%), the issue is valued at a post-issue P/E of 41.61x at the upper band of ₹429 per share with a market capitalization of ₹5,028.35 Cr. Investors seeking exposure to Indian cloud software and data centre infrastructure can evaluate this public issue for long-term growth.
