Will iValue’s IPO add Value to your Portfolio?

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The initial public offering (IPO) of iValue Infosolutions Ltd (iValue) has opened for subscription today and will close on September 22, 2025. Investors are advised to carefully consider both the opportunities and risks before subscribing.

For a detailed review, see our comprehensive IPO analysis here.

iValue Infosolutions IPO Details 

  • Issue Details: Mainstream
  • Issue Size: Rs 560.29 crore
  • Fresh Issue: -
  • Offer for Sale: Rs 560.29 crore
  • Price Band: Rs 284 – Rs 299
  • Lot Size: 50 shares
  • Listing Date: September 25, 2025

Overview of iValue Infosolutions Ltd

  • iValue is a technology services provider and value-added distributor (VAD) for leading OEMs, who research, develop and produce technology solution goods and services, and System Integrators (SIs). Its core offering ensures enterprise customers' digital applications and data are secure, scalable, highly available and performance-optimized.
  • iValue primarily operates through 4 business segments: (i) Cybersecurity; (ii) Information Lifecycle Management (ILM); (iii) Data Centre Infrastructure; and (iv) application lifecycle management (ALM), Cloud & Others.
  • As of 31 March 2025, iValue has a presence across 8 locations in India and 6 international locations: Singapore, Bangladesh, Sri Lanka, UAE, Cambodia and Kenya. Through partnerships with 109 OEMs and a network of 804 SIs, iValue serves 2,877 enterprise customers. Its technology team of 215 employees makes up over 51% of the total workforce.

iValue Infosolutions Key Strengths

  • Consistent Growth: iValue has demonstrated strong performance from FY23 to FY25, achieving a compound annual growth rate (CAGR) of 8% in operating revenue, 21% in EBITDA and 19% in net profit.
  • Impressive Return Metrics: iValue boasts robust return ratios. Over the past three years, Return on Equity (ROE) has ranged from 20% to 30%, reflecting strong value creation for shareholders. Similarly, Return on Capital Employed (ROCE) has remained within the 28% to 37% range, demonstrating efficient capital utilization despite expanding operations.
  • Margin Expansion: iValue has successfully expanded its margins, with net margin increasing from 7.4% in FY23 to 9.05% in FY25. Its EBITDA margin stands at 14%, reflecting effective cost control and a focus on higher-margin solutions.
  • Debt-Free Balance Sheet: iValue maintains a net debt-free profile. The firm’s Net Asset Value (NAV) has grown significantly from Rs 46.99 in FY23 to Rs 77.5 in FY25.
  • Strong Partner Ecosystem: iValue has established itself as a preferred partner for OEMs in India. Its OEM network grew from 93 partners in FY23 to 109 in FY25. Notably, 19 of these OEMs have been partners for over 10 years, 38 for over 6 years and 84 for over 3 years as of March 2025.
  • Expanding SI Network: iValue has built a large and growing SI network, with high retention and repeat business. Its system integrator network grew from 567 in FY23 to 804 in FY25, with 287 partners having been associated with the company for each of the last three years.

iValue Infosolutions Risk Factors

  • Dependence on OEMs: iValue relies on global OEMs for a significant portion of its business, with 63.02% of its Gross Sales Billed to Customers in FY25 coming from the top 10 OEMs. Any disruption in product delivery, failure to maintain relationships or changes in pricing and terms with these OEMs could adversely affect the firm’s profitability and reputation.
  • Dependence on SIs: A large portion of sales comes from a limited number of SIs, with 8.66% of Gross Sales Billed to Customers in FY25 derived from the top SI. Loss of business or failure to maintain these relationships could negatively impact the firm’s financial performance.
  • High Attrition Rate: iValue’s success depends on its ability to attract and retain talent, but it faces a high attrition rate of 34% in FY25. Despite initiatives like the iAcademy program (an in-house training and recruitment programme), high turnover could disrupt growth and operations.
  • Rising Trade Receivables: iValue’s trade receivables have increased from Rs 701.6 crore in FY23 to Rs 846.4 crore in FY25. Inability to efficiently collect receivables or defaults in payments could negatively impact cash flow, business operations and overall financial stability.

Final Thoughts: Should You Subscribe to iValue Infosolutions’ IPO?

  • iValue has delivered consistent results over the past three years. The firm has demonstrated scalable growth with a stable cost structure. Its balance sheet remains sound, maintaining a cash-positive status for five years, except for FY23, which experienced negative cash flow due to a one-off event.
  • From a valuation standpoint too, the IPO appears fairly priced with a Price-to-Earnings (PE) multiple of 19x based on FY25 earnings.
  • The global total addressable market (TAM) for sectors like cybersecurity, ILM, data center infrastructure, ALM and managed services is expected to grow from $1.08 trillion in 2024 to $3.38 trillion by 2030 (CAGR ~21%). In India, TAM is projected to expand from $22.7 billion in 2024 to $78.9 billion by 2030 (CAGR ~23.1%), outpacing global growth. This places India, and iValue, in a strong position to benefit from the ongoing digital transformation.
  • While there are risks related to receivables and OEM dependence, these are well-balanced by the growth opportunities in India’s digital transformation.
  • With strong fundamentals, an asset-light business model and a focus on high-growth sectors like cybersecurity, hybrid cloud and ALM, iValue has built a sustainable and margin-rich business. Given the fair valuation and favourable industry trends, investors may consider subscribing to the IPO with a long-term investment perspective.

For a deep dive into other IPOs, explore: IPO Corner on Liquide