Marushika Technology

• Marushika Technology is coming out with an initial public offering (IPO) of 23,05,200 shares in a price band of Rs 111-117 per equity share.
• The issue will open on February 12, 2026 and will close on February 16, 2026.
• The shares will be listed on SME Platform of NSE.
• The face value of the share is Rs 10 and is priced 11.10 times of its face value on the lower side and 11.70 times on the higher side.
• Book running lead manager to the issue is Nexgen Financial Solutions.
• Compliance Officer for the issue is Kavin Arora.

Profile of the company

Marushika Technology is engaged in the business of distribution of Information Technologies (IT) and Telecom Infrastructure products. It provides wide range of IT products and services to its clients in setting up their data centre’s infrastructure, active networking, telecom system, advanced surveillance systems, data protection, cybersecurity and power management. It also offers installation, maintenance services and assisting clients in selecting the right type of IT infrastructure for their specific need. Additionally, the company offers a range of smart solution including smart access control, parking, lighting, and waste management. Further, the company has expanded its offerings to include Auto-tech solutions for Defence, where it offers various services comprising of maintenance, refurbishment, and reverse engineering of tracked and wheeled military vehicles. The company generated some revenue from this vertical in the financial year 2024-25 and has additional assignments in the pipeline.

The company primarily operates on a Business to Business (B2B) model and Business-to-Government (B2G). It generates revenue by providing services to both government and non-government clients, where the ultimate end customer is often a government. Further, it provides products and services to Government sector including Bharat Electronic (BEL), Central Electronic (CEL), Delhi Metro Rail Corporation (DMRC) and National Security Guard (NSG). Further, it offers its product and service to Infrastructure projects of various verticals of Central & State Government and Public Sector Units (PSU) such as Defence, IT and Telecom Infra, Transportation, Education and Health.

Over the year, it has steadily expanded its execution capabilities and successfully completed more than 150 projects. As on December 31, 2025 it has ongoing projects of an aggregate amount of Rs 3,545.45 lakh. The company is an ISO/IEC 27001:2022 and ISO 9001:2015 certified company, issued by Delano Assessment and Care Certification in compliance with Information Security Management Systems and Quality Management System respectively. It is a technology company and focusing on quality delivery and customer satisfaction. It offers tailor made offerings right from advising clients on the appropriate product for serving their IT requirement to implementing the solution suggested.

Proceed is being used for:

• Repayment and/ or pre-payment, in part or full, of certain borrowings availed by the company
• Funding the working capital requirements of the company
• General corporate purposes

Industry Overview

With a thriving ecosystem encompassing diverse sectors, the domestic IT market in India mirrors the nation's relentless pursuit of technological advancement and innovation. Information technology in India is an industry consisting of two major components: IT services and hardware as well as Business Process Management (BPM). In fact, E-commerce has also been included in this industry since FY13 and contributes substantially to the growth of the industry. India is amongst the largest exporters of IT services in the world as it enjoys a cost advantage over other nations along with the required skills. Tier 1 cities like Bengaluru are 8-10 times more cost efficient than other low-cost destinations (considering required manpower skills as well). While IT services continue to have the dominant share in the industry, E-commerce is incremental in increasing market share of the domestic IT industry. IT companies are found in clusters in India, largely concentrated in urban cities like Bangalore, Chennai, Hyderabad, Mumbai, and Pune, cities that have easy availability of skilled workforce. The domestic IT market in India encompasses a wide spectrum of industries, including telecommunications, banking and finance, healthcare, retail, manufacturing, and government sectors. It comprises hardware, software, and services, with a robust network of indigenous and multinational players catering to diverse requirements.

India's technology start-up ecosystem has witnessed exponential growth fuelled by factors such as increasing internet penetration, availability of skilled talent, supportive government policies, and access to venture capital funding. Start-ups across various sectors including e-commerce, fintech, healthtech, edtech, and SaaS have proliferated, leveraging technology to address diverse market needs. The exponential growth of India's technology start-up ecosystem can be attributed to several key factors: Increasing Internet Penetration: According to TRAI, India witnessed a substantial increase in internet subscribers, reaching 1,181.13 million by September 2023. This rise in internet connectivity has facilitated greater access to digital services, driving demand for innovative tech solutions. Abundance of Skilled Talent: India's vast pool of skilled talent, particularly in the fields of technology, engineering, and business, has been instrumental in fueling the growth of technology start-ups. The availability of qualified professionals has enabled start-ups to build robust teams and drive innovation across various sectors. Supportive Government Policies: The Indian government has introduced several initiatives and policies to support the growth of the start-up ecosystem, including Startup India, Make in India, and Digital India. These initiatives provide incentives, funding support, and regulatory frameworks to nurture and promote entrepreneurial ventures.

The Indian IT industry is experiencing a period of significant growth, driven by a confluence of factors. According to estimates, the industry is expected to grow at CAGR of 7.2% to reach $323 billion by 2027. The global shift towards digitalization has fueled the demand for IT services across industries. Indian IT firms, with their expertise in software development, cloud solutions, and system integration, are well-positioned to capitalize on this trend. Compared to developed economies, India offers competitive rates for IT services, making it an attractive option for businesses worldwide. This advantage, coupled with a large pool of skilled professionals, continues to attract global clients. The rise of technologies like artificial intelligence, blockchain, and the Internet of Things (IoT) is creating new opportunities for the Indian IT industry. Companies are investing in developing expertise in these areas to meet evolving client need. Notably, the domestic IT market is expected to grow even faster. This rapid expansion presents exciting opportunities for both Indian businesses and the global IT landscape. The Indian government is actively promoting digital adoption through initiatives like ‘Digital India’, which aims to make government services more accessible online and bridge the digital divide. This creates significant demand for IT infrastructure and services within the country. The rising middle class in India is driving demand for consumer-focused IT products and services, such as e-commerce platforms, digital payment solutions, and online entertainment options. India's thriving start-up ecosystem is fueling demand for IT services as these new businesses require solutions for website development, app development, cloud infrastructure, and cybersecurity.

Pros and strengths

Presence in multiple industry verticals with long-standing customer relationships: The company has a diversified presence across multiple industry verticals such as Banking, Finance, Insurance, Railways, Defence, and Healthcare. Over the years, it has built and sustained strong, long-term relationships with its customers in these sectors. This wide industry reach not only provides it with a stable and recurring stream of business but also reduces dependency on any single sector. Further, its established credibility with reputed clients enhances its ability to participate in larger opportunities, expand into new verticals, and strengthen its position as a trusted partner across varied industries.

Established strong relationship with OEMs: It has established strong relationship with several major technology companies, commonly referred to as Original Equipment Manufacturers (OEMs). It teams up with authorized OEM distributors, enabling it to become authorized resellers of their Information Technology and Smart solutions products and services. These offerings empower organizations to enhance their operational efficiency while safeguarding their networks, data, and applications from emerging cyber threats. Its robust partnerships allow it to provide a comprehensive suite of solutions across diverse industries. By directly teaming up with industry leaders, it is able to deliver cutting-edge tools to its clients, empowering them to secure their digital assets effectively. Its strong relationships with these distributors also help it negotiate better deals, which allow it to offer competitive pricing and value to its customers. Additionally, these partnerships enable it to provide expert technical support and training to ensure that its customers can fully utilize the solutions it offers.

Wide range and diversified IT solutions and offerings: The company offers wide range of diversified products and services. To streamline its operations, it has classified its business into three key verticals: IT & Telecom Infrastructure, Smart Solutions, and Auto-Tech Solutions for Defence. Within the IT & Telecom Infrastructure vertical, it provides offerings such as Data Center Infrastructure, Videowall Display Solutions, Public Address Systems, Servers, Electronic Surveillance Systems, Storage Solutions, and Power Solutions. These vertical forms the backbone of its business and contributes the largest share of its revenues. Its solutions are widely deployed across industries including Banking, Financial Services, Insurance, Railways, Defence, and Healthcare. The Smart Solutions vertical encompasses innovative offerings such as Smart Services, Physical Access Control Systems, and Solid Waste Management solutions. These are designed to drive efficiency, enhance safety, and promote sustainability within both urban and industrial ecosystems.

Risks and concerns

Significant reliance on GoI and defence sector projects: Its revenue is significantly dependent on projects awarded by the Government of India (GoI) and its associated entities, including public sector undertakings and government organisations. In many instances, its non-government clients obtain projects from GoI and subsequently engage it as a value added distributor to deliver IT and digital infrastructure solutions. As a result, its revenue streams are directly and indirectly reliant on government projects. Accordingly, any decline or reprioritisation of IT and digital infrastructure budgets, reduction in orders, termination of existing projects, delays in ongoing or anticipated projects, or any adverse change in the GoI’s policies relating to the IT sector may have a material adverse impact on its business, financial condition, and results of operations. It is actively engaged in providing IT and Telecom Infrastructure solutions, Smart Solutions and Auto Tech Solution for Defence, and it has obtained necessary registrations/approvals to participate in government and defence-related projects. As a result, its revenue is substantially dependent on projects undertaken by GoI, whether directly or indirectly through private contractors.

Dependence on a single business vertical: The company derives majority of its revenue from the products and services provided by it under IT and Telecom Infrastructure (IT) vertical. Specifically, the revenue from IT and Telecom Infrastructure (IT) vertical contributed 99.72%, 97.59%, and 97.57% for the period ending September 30, 2025, financial year ended March 31, 2025 and March 31, 2024, respectively. If the demand for these vertical declines due to changes in customer preferences, or technological advancements, the company's revenue can be severely impacted, dependency on one segment or vertical makes the company's revenue highly volatile and sensitive to any disruptions in the product and service. Any such events could limit its operational flexibility and adversely impact its business, cash flows, and financial position.

Revenue concentration risk in Delhi and Uttar Pradesh: The company’s business operations span various regions across India. Despite this diversified presence, it has a significant dependency on Delhi and Uttar Pradesh, which contributes 61.82%, 73.68%, 65.27% and 69.54% to its total revenue for the period ended September 30, 2025 and for the financial year ended March 31, 2025, 2024, and 2023. Relying heavily on these states exposes it to regional economic fluctuations, regulatory changes, and local market dynamics. Adverse conditions such as economic downturns, political instability, or natural disasters specific to that region could significantly impact its revenue stream and any decline in the economic prosperity or changes in regulations within that particular region could negatively affect its financial performance.

Outlook

Marushika Technology is engaged in the business of distribution of Information Technologies (IT) and Telecom Infrastructure products. It provides wide range of IT products and services to its clients in setting up their data centre’s infrastructure, active networking, telecom system, advanced surveillance systems, data protection, cybersecurity and power management. It also offers installation, maintenance services and assisting clients in selecting the right type of IT infrastructure for their specific need. Additionally, the company offers a range of smart solution including smart access control, parking, lighting, and waste management. On the concern side, it relies on third-party service providers for various critical functions, including technology infrastructure, Auto tech solution for defence and other operational support. If any of these third parties fail to meet their contractual obligations, experience disruptions, or otherwise underperform, its operations could be adversely affected. Delays, service interruptions, or quality issues caused by such third parties may result in increased operational costs, reduced customer satisfaction, and reputational damage. In certain cases, it may not be able to find timely or suitable alternatives, which could further impact its ability to deliver services efficiently. Any such disruption could have a material adverse effect on its business, results of operations, and financial condition. Moreover, it is dependent on various Original Equipment Manufacturers (OEMs) for the supply of products required for its projects. There can be no assurance that strong demand, any disruption in supply chain or other problems experienced by its suppliers will not result in occasional shortages or delay in their supply of products. If it experiences a significant or prolonged shortage of products from any of its suppliers and it cannot procure the product from other sources, it would be unable to meet its project execution schedules in timely manner, which would adversely affect its profit margins and customer relations.

The company is coming out with a maiden IPO of 23,05,200 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 111-117 per equity share. The aggregate size of the offer is around Rs 25.59 crore to Rs 26.97 crore based on lower and upper price band respectively. On performance front, the revenue from operation for FY25 stood at Rs 8,524.87 lakh whereas in FY24 it was Rs 6,066.23 lakh representing an increase of 40.53%. Moreover, profit after tax for the period financial year ended March 31, 2025, stood at Rs 628.64 lakh and for the financial year ended March 31, 2024 it was Rs 314.11 lakh representing an increase of 100.13%.

The company intends to drive growth in the Information Technologies (IT) Infrastructure, Smart Solutions, and Auto Tech Solutions for Defence sectors. It will integrate new technologies into its offerings. It will use cloud-based IT solutions such as hybrid and multi-cloud systems, serverless computing, and containerization to improve scalability and flexibility. It will also apply edge computing with AI and 5G to support real-time processing and reduce delays, which will help it improve connectivity and efficiency in important projects. On the other hand, it aims to strengthen its offerings with AI-driven personalization, AR/VR-based solutions, blockchain credentialing, and virtual assistants. This integration will improve customer engagement, ensure security, and create sustainable, future-ready solutions aligned with evolving industry demands. Further, it intends to expand its operations across India to better serve its customers. By extending its geographical reach, it aims to capitalize on the growing demand for IT, smart solutions, auto tech solutions for defence, Cloud and Digital Training services. This expansion will enable it to directly engage with customers in various regions, gain a deeper understanding of their specific needs, and provide tailored solutions to meet their unique requirements. Additionally, by establishing a stronger presence in new markets, it can leverage its expertise and experience to offer innovative and reliable IT services.