In early 2026, India’s IPO market continues to witness steady momentum, with a growing mix of technology, manufacturing, and defence-linked companies tapping the capital markets. Investor appetite remains healthy, especially for businesses aligned with national priorities such as defence indigenisation, aerospace development, and advanced electronics. With increased government spending on defence modernisation and indigenous manufacturing under initiatives like “Make in India,” companies operating in niche engineering segments are drawing renewed attention.
Against this backdrop, Digilogic Systems Limited is set to open its Initial Public Offering on January 20, 2026. Here is a detailed overview of Digilogic Systems Limited, its IPO details, financial performance, and the broader industry outlook.
About Digilogic Systems Ltd.
Incorporated in 2011, Digilogic Systems Limited is engaged in the design, development, integration, manufacturing, supply, and support of advanced engineering solutions for the defence and aerospace sectors. The company specialises in Automated Test Equipment (ATE) systems, radar and electronic warfare simulators, application software, and embedded signal processing solutions.
Digilogic’s offerings are organised across three key segments. The Test Systems segment includes ATE systems, checkout systems, and radar and electronic warfare simulators. The Application Software segment covers data acquisition platforms and intellectual property cores, while the Services segment focuses on system integration, upgrades, and lifecycle support.
The company provides end-to-end solutions across the entire project lifecycle, starting from concept development and design to deployment and long-term maintenance. While its primary focus is defence and aerospace, some solutions also find limited applications in industrial automation.
Digilogic operates from two facilities: a registered office and integrated engineering and manufacturing facility in Hyderabad, and a marketing office in Bangalore dedicated to business development and customer engagement.
Digilogic Systems Ltd. IPO Details
Through the IPO, Digilogic Systems aims to raise ₹81.01 crore. The issue comprises a fresh issue of shares aggregating to ₹69.68 crore, along with an offer for sale of ₹11.33 crore by existing shareholders.
The proceeds from the fresh issue will primarily be utilised for setting up a proposed new facility, repayment or prepayment of certain borrowings, and general corporate purposes.
Important IPO Timeline
| Event | Date |
|---|---|
| IPO Open Date | January 20, 2026 |
| IPO Close Date | January 22, 2026 |
| Allotment Date (Tentative) | January 23, 2026 |
| Initiation of Refunds | January 27, 2026 |
| Credit of Shares to Demat | January 27, 2026 |
| Listing Date (Tentative) | January 28, 2026 |
| Cut off Time for UPI Mandate Confirmation | 5 PM on January 22, 2026 |
Key IPO Details
Here is a snapshot of the Digilogic Systems IPO Review:
| Particulars | Details |
|---|---|
| Face Value | ₹2 per share |
| Price Band | ₹98 to ₹104 per share |
| Lot Size | 1,200 shares |
| Total Issue Size | 77,89,196 shares aggregating up to ₹81 Cr |
| Fresh Issue | 63,09,596 shares aggregating up to ₹66 Cr |
| Offer for Sale | 10,89,600 shares aggregating up to ₹11 Cr |
| Issue Type | Bookbuilding IPO |
| Sale Type | Fresh Capital and OFS |
| Listing At | BSE SME |
| Market Capitalisation Pre IPO | ₹301.10 Cr |
| Shareholding Pre Issue | 2,22,52,630 shares |
| Shareholding Post Issue | 2,89,52,226 shares |
Lot Size of Digilogic Systems IPO
The lot size details for different investor categories are as follows:
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 2 | 2,400 | ₹2,49,600 |
| Retail (Max) | 2 | 2,400 | ₹2,49,600 |
| S-HNI (Min) | 3 | 3,600 | ₹3,74,400 |
| S-HNI (Max) | 8 | 9,600 | ₹9,98,400 |
| B-HNI (Min) | 9 | 10,800 | ₹11,23,200 |
Digilogic Systems Ltd. Financials
The Digilogic Systems IPO implies a pre-IPO market capitalisation of ₹301.10 crore. As of March 31, 2025, the company reported a Return on Equity (ROE) of 34.57% and a Return on Capital Employed (ROCE) of 34.27%, reflecting strong profitability in recent periods. The Profit After Tax (PAT) margin stood at 11.26%, while the EBITDA margin was 18.60%.
Key Company Financials
| Period Ended | 30 Sep 2025 | 31 Mar 2025 | 31 Mar 2024 | 31 Mar 2023 |
|---|---|---|---|---|
| Assets (₹ Cr) | 64.53 | 72.57 | 35.55 | 35.49 |
| Total Income (₹ Cr) | 18.28 | 72.19 | 51.71 | 56.12 |
| Profit After Tax (₹ Cr) | 1.61 | 8.11 | 2.40 | 2.18 |
| Net Worth (₹ Cr) | 35.07 | 33.46 | 13.48 | 11.09 |
| Reserves & Surplus (₹ Cr) | 30.62 | 29.01 | 11.48 | 9.09 |
| Total Borrowing (₹ Cr) | 22.04 | 13.34 | 8.11 | 10.92 |
Key Performance Indicators
| KPI | Sep 30, 2025 | Mar 31, 2025 |
|---|---|---|
| Return on Equity | 4.71% | 34.57% |
| Return on Capital Employed | 4.71% | 34.27% |
| Debt to Equity | 0.63 | 0.40 |
| Return on Net Worth | 4.71% | 34.57% |
| PAT Margin | 8.87% | 11.26% |
| EBITDA Margin | 18.39% | 18.60% |
| Price to Book Value | 6.91 |
Pre IPO and Post IPO Metrics
| Particulars | Pre IPO | Post IPO |
|---|---|---|
| EPS (₹) | 3.65 | 1.11 |
| P E (x) | 28.52 | 93.36 |
| Promoter Holding | 88.50% | |
| Market Capitalization | ₹301.10 Cr |
IPO Objects of the Issue
| Issue Objects | Estimated Amount (₹ Cr) |
|---|---|
| Capital expenditure towards setting up of proposed new facility | 51.74 |
| Pre payment or repayment of borrowings | 8.00 |
| General corporate purposes |
Digilogic Systems Ltd.: Industry Outlook
India’s defence and aerospace sector is undergoing a structural transformation driven by rising defence budgets, indigenisation initiatives, and increased focus on advanced electronics and simulation technologies.
Government-led programmes supporting indigenous defence manufacturing are creating long-term opportunities for companies specialising in test systems, embedded software, and electronic warfare solutions. Increased procurement of advanced radar, avionics, and defence platforms is also driving demand for automated testing and simulation equipment.
Additionally, lifecycle support, system upgrades, and embedded engineering services are becoming critical as defence platforms grow more complex, benefiting specialised engineering firms like Digilogic Systems.
Conclusion
Digilogic Systems Limited offers investors exposure to a niche segment within India’s defence and aerospace engineering ecosystem. The company’s end-to-end capabilities, focus on advanced test systems and embedded solutions, and improving financial performance strengthen its investment narrative.
However, potential investors should also consider factors such as dependence on defence spending cycles, project execution timelines, and valuation sensitivity post listing. As with any SME IPO, risk tolerance and investment horizon play a crucial role in decision-making.
