Now Reading: Garuda Aerospace Gets SEBI Observation for Rs 750 Crore IPO
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Garuda Aerospace Gets SEBI Observation for Rs 750 Crore IPO
Garuda Aerospace has received SEBI’s final observation for its proposed initial public offering, Inc42 reports, moving the Chennai-based drone company closer to a listing. Its board approved a fresh issue of up…
The Story in Brief
Garuda Aerospace has received SEBI’s final observation for its proposed initial public offering, Inc42 reports, moving the Chennai-based drone company closer to a listing. Its board approved a fresh issue of up to Rs 750 crore in March, alongside an offer-for-sale component. The OFS value has not been disclosed, though reports cited by Inc42 put it at about Rs 250 crore.
The company confidentially pre-filed its draft red herring prospectus in April and is expected to file an updated version. Garuda reported Rs 123.5 crore in operating revenue and Rs 18.4 crore in net profit in FY25. In the first six months of FY26, it reported Rs 41.2 crore revenue and Rs 11 crore profit. Founded in 2015, it makes drones for defence, agriculture, surveillance and logistics.
The Indian Opinion
IPO chatter can make every technology company look like a breakout success, while sceptics often dismiss drone businesses as hype. Neither view is enough. Garuda’s reported profit is a useful starting point, but investors still need the updated prospectus, the full OFS details and clarity on how much fresh capital will fund growth. The key test will be whether revenue and profit hold up after listing, not the size of the proposed issue.
Source: inc42.com
This story was synthesised by AI from the source linked above.
