ESDS Software Solution has set the IPO price band at Rs 408-429 per share for its Rs 720-crore initial public offering. The issue will open for subscription on August 28, 2026, and close on September 1. The IPO comprises an entirely fresh issue of 1.68 crore shares.
Investors can bid for a minimum of 34 equity shares, and in multiples of 34 shares thereafter. At the upper end of the price band, retail investors will need to invest Rs 14,586 for one lot of 34 shares.
The allotment is expected to be finalised on September 2, while the shares are likely to list on the NSE and BSE on September 4, subject to the IPO schedule remaining unchanged.
At the upper end of the price band, ESDS Software Solution's FY2026 price-to-earnings (P/E) ratio stands at 36.33 times, while at the lower end it is 34.55 times. This compares with an average industry peer-group P/E ratio of 819.78 times and a Nifty 50 P/E ratio of 20.48 times as of August 20, 2026.
On the EV/EBITDA valuation metric, the company's multiple stands at 16.30 times at the upper price band and 15.40 times at the lower price band for FY2026. This compares with an average industry peer-group EV/EBITDA ratio of 99.49 times. Meanwhile, ESDS Software Solution reported a weighted average return on net worth of 17.09% over the last three fiscal years.
DAM Capital Advisors Ltd. is the book-running lead manager, while MUFG Intime India Pvt. Ltd. is the registrar to the issue.
ESDS Software Solution IPO Proceeds
The proceeds from the ESDS Software Solution IPO will primarily be utilised to expand and strengthen the company’s data centre infrastructure. Approximately Rs 576 crore is proposed to be allocated towards the purchase and installation of cloud computing equipment and other data centre infrastructure.
The balance of the IPO proceeds will be used for general corporate purposes, providing the company with flexibility to meet its broader business and operational requirements.
Financial Performance
ESDS Software Solution Ltd. reported a significant improvement in its financial performance in FY26. Total income increased 28% year-on-year to Rs 480.65 crore, compared with Rs 376.64 crore in FY25.
Profitability improved even more sharply, with profit after tax (PAT) more than doubling to Rs 120.82 crore, up 117% from Rs 55.61 crore in the previous year. The strong growth in both revenue and profitability reflects a notable improvement in the company’s financial performance during FY26.
About ESDS Software Solution
Incorporated in August 2005, ESDS Software Solution Limited is an AI-enabled provider of cloud, managed services, data centre infrastructure and software solutions in India. The company offers an end-to-end portfolio spanning Infrastructure-as-a-Service (IaaS), managed services and Software-as-a-Service (SaaS), catering to customers across the BFSI, government and enterprise segments. In FY26, the company served 2,501 customers and recorded revenue from operations of Rs 4,722.10 million.
Its IaaS portfolio covers colocation and data centre services, as well as public, private, virtual private, hybrid and community cloud solutions and GPU-as-a-Service (GPUaaS). ESDS operates five Tier 3 data centres across India, spanning more than 75,266 sq. ft. These facilities are supported by redundant power systems, disaster recovery infrastructure and round-the-clock services.
The company’s managed services portfolio includes cloud and data centre management, cybersecurity, IT infrastructure and network management, backup and disaster recovery, database management and DevOps services.
ESDS also develops proprietary technology solutions, including SWARAJ Cloud, its patented cloud autoscaling technology. The platform has evolved into an AI-enabled cloud solution focused on data sovereignty, scalability, security, compliance and AI capabilities. Its SaaS offerings include data centre management tools, vulnerability scanners, web access firewalls, VPN solutions and AI-powered GPU monitoring solutions.
As of June 30, 2026, the company had 993 employees supporting its data centre operations, cloud infrastructure, security management, research and development, sales, service delivery and other functions.
Shareholding Structure
Following the IPO, ESDS’s shareholding is divided between the promoter group, which holds approximately 46.06%, and public shareholders, who hold the remaining 53.94%.
The promoter group—comprising Piyush Prakashchandra Somani, P.O. Somani Family Trust, and Komal Piyush Somani—collectively owns a 46.06% stake in ESDS. Among the public shareholders, notable investors include Mukul Mahavir Agrawal, with a 7.00% stake, and Ashish Kacholia, who holds 2.45%.
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