Exclusive: Tonbo Imaging To File DRHP By August For INR 1,000 Cr IPO

Defence tech startup Tonbo Imaging is readying to file its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) within three months to raise INR 800 Cr to INR 1,000 Cr in its initial public offering (IPO).

Speaking to Inc42, Tonbo founder and CEO Arvind Lakshmikumar said that the startup will file the draft papers in July or August this year. 

Tonbo has appointed IIFL Securities and JM Financial as the book running lead managers for its public issue and is expected to begin its full-fledged IPO preparations next week. 

The CEO refused to disclose the breakup of the fresh issue and the offer for sale in the IPO.

Founded in 2012 by Lakshmikumar, Ankit Kumar, and Cecilia D’Souza, Tonbo is one of the global leaders in strategic defence technologies. The startup has been designing, building, and deploying advanced imaging and sensor systems and many other critical components for more than a decade to facilitate autonomy on the battlefields.

Its product suite, which caters to defence needs across land, air, and water, includes smart thermal weapon sights, border and coastal surveillance systems, see through armors, AI-based seekers, special test equipment (STE) such as gun shock simulators, and more.

Tonbo has raised more than INR 500 Cr ($59 Mn) so far across multiple funding rounds. It is backed by Artiman Ventures, WRV Capital (now Celesta Capital), HBL Engineering, Qualcomm Ventures, Edelweiss Private Equity, among others. The startup recently raised INR 175 Cr in its Series D pre-IPO funding round from Florintee Advisors and EXIM Bank at a post-money valuation of more than INR 1,500 Cr ($175 Mn).

However, Lakshmikumar didn’t share the valuation at which Tonbo is looking to go public.

It is pertinent to note that Tonbo is one of the first few defence tech startups that started building from India for the globe. Today, it has a presence across Europe and the APAC region, along with the US, Australia, and Israel. 

A majority of its revenue comes from global defence use cases, with India contributing around 40% to its top line. The startup counts NATO, US Navy SEALs, Israeli Defense Forces (IDF), the defence ministries of India and Armenia, along with companies like Bharat Dynamics, L&T, Israel Aerospace, among others, as its customers.

“We have been working with the government and the business has been doing well. The original ‘Uri’ strike was powered by us. We worked with the government in ‘Operation Sindoor’. So, we thought that now is a good time to go public. It will be an opportunity for us to provide all our private investors, who have been patient with us over the last few years, some liquidity,” said Lakshmikumar.

Tonbo claims to have posted a net profit of over INR 70 Cr in the year ended March 31, 2025 (FY25) on a core business revenue of over INR 400 Cr. 

As per its regulatory filing, Tonbo’s operating revenue stood at INR 428 Cr in FY24, while it posted a profit of INR 68 Cr.

Tonbo is eyeing a listing on the bourses by the end of this year.

India’s Growing Defence Tech Capabilities

While the Centre has been promoting indigenous defence tech ecosystem for the last few years, the recent India-Pakistan conflict and ‘Operation Sindoor’ showcased the country’s defence tech capabilities on the battlefield.

From the AI-powered air defence system Akashteer and the Akash Weapon System to drones provided by the likes of IG Drones, Solar Industries and ZMotion, the success of indigenous defence technology is expected to give a major boost to the sector. 

Lakshmikumar said that Tonbo’s IPO is a testament to its decade-long commitment to modernising the battlefields. Its public listing will be crucial for its next stage of product building exercise as the startup is investing in building jet-powered systems, which are immune to electromagnetic interference and GPS jamming, and directed energy weapon platforms.

Prior to this, drone startup ideaForge, which also works with the Indian defence forces, went public in 2023. Despite a significant downturn in its shares in the last one year, the stock surged 56% in the last 10 days following ‘Operation Sindoor’. The Nifty India Defence index jumped about 20% in the same period.

As per government data, India’s defence exports surged to INR 23,622 Cr in FY25 from a mere INR 686 Cr in FY14.

Editor’s Note: The revenue and profit numbers for FY25 have been changed on the company’s request.