Tonbo Imaging IPO Review: ₹852 Crore Issue, Price Band ₹665-700 and Key Risks

This Tonbo Imaging IPO review sticks to the numbers you need before the issue opens on 15 October 2026. Tonbo Imaging India, a defence electronics maker from Bengaluru, wants to raise about ₹852 crore through a book-built issue priced at ₹665–700 per share. Those details come from Chittorgarh, which pulls them from the red herring prospectus filed with SEBI.

Tonbo Imaging IPO review: the issue at a glance

• Issue size: ₹852.18 crore, all of it an offer for sale (OFS) of 1,21,74,046 shares
• Price band: ₹665 to ₹700 per share (face value ₹2)
• Lot size: 21 shares, which puts the minimum retail bid at ₹14,700 at the top of the band
• Dates: opens 15 Oct and closes 19 Oct; allotment is expected on 21 Oct, with tentative listing on NSE and BSE on 23 Oct
• Reservation: up to 50% for QIBs, at least 35% for retail and at least 15% for NIIs
• Market cap at upper band: roughly ₹4,009.75 crore
• Lead managers / registrar: JM Financial and IIFL Capital Services; KFin Technologies is the registrar

What Tonbo actually makes

Tonbo was incorporated in December 2003. It designs and builds electro-optic and infrared systems, things like thermal imaging devices, weapon sights, missile seekers, fire control and surveillance kit. The company says it sells to defence and security customers in 24 countries, has more than 28,000 systems deployed, and that its products sit outside US ITAR export restrictions.

The financials: read these slowly

We’d spend most of our time here. On restated numbers, revenue dropped about 22% and profit after tax about 30% in FY26 against FY25:

• Total income: ₹369.94 crore in FY26, down from ₹474.39 crore in FY25
• Profit after tax: ₹50.88 crore, against ₹72.76 crore
• EBITDA: ₹104.62 crore, against ₹139.06 crore (FY26 EBITDA margin of 28.85%)
• June 2026 quarter: total income of ₹37.32 crore and a loss of ₹17.74 crore
• Total borrowing: ₹129.72 crore as of 30 June 2026

Price it at the upper band and you’re paying roughly 78.8 times FY26 earnings per share of ₹8.88, and about 7.25 times book.

Because this is a pure offer for sale, not a rupee of the ₹852 crore goes to the company. Every share sold comes from existing holders.

Where the risks sit

• No fresh capital: the money goes to selling shareholders, led by the CEAQ Technologies entities, which together sell shares worth about ₹640 crore.
• Shrinking earnings: both revenue and profit fell in FY26, and the June quarter ended in a loss. Defence orders are lumpy, so one bad quarter on its own can mislead. Still, the direction needs an explanation.
• Valuation: a P/E close to 79 times already assumes a sharp recovery.
• Promoter stake: promoter holding drops from 18.58% to 15.72% once the issue is done.

What it means for investors

Tonbo is a slice of Indian defence technology you can’t otherwise buy on the exchanges. The catch is the price. You’re asked to pay a rich multiple for a business whose latest numbers are heading the wrong way. Before bidding, read what GMP means and go through our guide to IPO investing in India and check this week’s other IPOs.

Source: issue details compiled from the RHP by Chittorgarh, as of 12 October 2026. This is not a recommendation to subscribe.