Tonbo Imaging IPO Oversubscribed Nearly 7X On Day 2 So Far

Defence tech company Tonbo Imaging’s ₹852.1 Cr IPO continued to receive healthy investor interest on the second day of bidding. Investors have placed bids for about 5.93 Cr shares against the 85.26 Lakh shares on offer, implying an oversubscription of 6.95X.

Demand for the IPO was led by retail individual investors, who have placed bids for 2.70 Cr shares against the 42.6 Lakh shares reserved for them. This translates to a 6.34X oversubscription of their category.

Trailing RIIs, non-institutional investors (NIIs) have cumulatively bid for 2.25 Cr shares against 18.24 Lakh shares reserved for them, implying an oversubscription of 12.36X. 

Within this category, investors have placed 1.18 Cr bids for lots valued over ₹10 Lakh while lots in the range of ₹2-10 Lakh have attracted 1.08 Cr bids till now.

Qualified institutional buyers (QIBs) have bid for 95.83 Lakh shares against their quota of 24.3 Lakh, implying 3.94X oversubscription. 

Meanwhile, employees of the company have placed bids for nearly 1.68 Lakhs shares against the 14K shares reserved for them, oversubscribing to their allocation by 12.03X.

Prior to the opening of the IPO, Tonbo allotted 36.5 Lakh shares to 43 anchor investors at ₹700 apiece, raising ₹255.4 Cr. 

Its IPO, which comprises an offer for sale (OFS) of up to 1.2 Cr shares with no fresh issue component, will close on October 19. The company has set a price band of ₹665-₹700 per share for the offer, indicating a valuation of ₹4,009.8 Cr at the upper end of the price band. 

Tonbo started off as a subsidiary of a research company, Sarnoff Corporation, providing R&D and technology development services. It was bought out by promoters and cofounders Arvind Lakshmikumar, Ankit Kumar, and Cecilia D’Souza in 2012. 

Since then, the company has pivoted to design and development of advanced imaging and sensor systems used for surveillance, reconnaissance, targeting, and other military applications. Its product portfolio includes thermal imaging systems, weapon sights, fire-control systems, missile seekers, etc.

In terms of the value chain, Tonbo handles the prototype development, system integration, and qualification testing in-house, while outsourcing manufacturing to partners such as Kaynes Technology and Avalon Technology. 

On the financial front, Tonbo reported operating revenue of ₹36 Cr and a net loss of ₹17.7 Cr in Q1 FY27. For the fiscal ended in March 2026, its revenue from operations declined 22.7% to ₹362.6 Cr from ₹ 469.1 Cr in FY25. Net profit declined 43% YoY to ₹50.8 Cr in the fiscal under review from ₹72.8 Cr in the previous year.

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