Paras Defence and Space Technologies Limited

Incorporated in 2009, Paras Defence And Space Technologies designs, develops, manufactures and tests a wide range of defence and space engineering products and solutions. The company caters to five segments - defence and space optics, defence electronic, electro-magnetic pulse protection solution, heavy engineering and niche technologies. In fact, it is the sole Indian supplier of critical imaging components such as large size optics and diffractive gratings for space applications.

The company has a range of 34 products and solutions, with which it caters to its customers. Its customer-base includes some of the prominent domestic private and government companies including Bharat Electronics, Bharat Dynamics, Hindustan Aeronautics and Solar Industries. It derives most of its revenue by signing contracts with government arms and entities. As of June 2021, it’s order book stood at ₹304 crore, which is over two times its FY21 revenues.

Meanwhile, it’s revenue and net profit have shrunk at 3.6% and 8.7% CAGR between FY19 and FY21.

The IPO size is ₹171 crore. Of that, about ₹140 crore is the fresh issue which will be used for the purchase of machinery and equipment, incremental working capital requirement, repayment of a portion of the borrowing and general corporate purposes. The remaining ₹30 crore is the offer for sale.