Tonbo Imaging India IPO closes today; Day 2 demand at 7.78x

Tonbo Imaging India’s Rs 852.18 crore initial public offering entered its final day of bidding on Monday, October 19, after drawing subscriptions of 7.78 times by the end of Day 2, Economic Times Markets reported. The Bengaluru-based defence technology company’s shares were commanding an unofficial grey market premium of about 74%, even as its FY26 financial results showed declining income and profit.

The subscription figures are a Day 2 snapshot, not the final bidding tally. The issue opened on October 15, with shares priced at Rs 665–700 each.

Strong demand, but no fresh funds for the company

Non-institutional investors led demand, bidding for 14.35 times their reserved allocation. Retail subscriptions stood at 7.13 times, while qualified institutional buyers subscribed 3.95 times their portion.

The IPO comprises an offer for sale of 1.22 crore shares. All issue proceeds will go to selling shareholders rather than Tonbo Imaging India; the transaction therefore does not provide fresh capital for the company’s operations or expansion.

A retail application requires at least one lot of 21 shares, costing Rs 14,700 at the upper price of Rs 700. Each share has a face value of Rs 2. Ahead of the public offer, anchor investors were allotted 36.48 lakh shares at Rs 700 each, raising approximately Rs 255 crore.

GMP suggests optimism, not a guaranteed listing gain

The reported grey market premium was Rs 515 a share, or roughly 74% above the upper issue price, compared with an earlier premium of 71%. Adding that premium to Rs 700 produces an indicative price of about Rs 1,215.

That figure is an unofficial market indication—not an exchange price, assured return or confirmed listing forecast. The premium can change before trading begins.

The basis of allotment is expected to be finalised on October 21, with listing on the BSE and NSE tentatively scheduled for October 23. JM Financial and IIFL Capital Services are the book-running lead managers, and KFin Technologies is the registrar.

FY26 earnings weakened

Total income fell to Rs 370 crore in FY26 from Rs 474 crore in FY25, a reported decline of 22%. Profit after tax dropped to Rs 51 crore from Rs 73 crore, down 30%. These are financial-year results, distinct from the investor demand reflected in IPO subscription figures.

The fall in earnings is a material counterpoint to grey market enthusiasm. Neither oversubscription nor an unofficial premium establishes how the shares will perform after listing.

A defence electronics business with overseas reach

Incorporated in December 2003, Tonbo Imaging India designs and manufactures electro-optic and infrared equipment, embedded vision systems, and communication, guidance and surveillance technology for defence and security applications. Its products include thermal imagers, weapon sights, missile seekers, fire-control systems and targeting equipment.

The company serves defence and security organisations across 24 countries and has more than 28,000 systems deployed in the field. It had 339 permanent employees as of June 30, 2026.

Tonbo describes itself as India’s largest thermal-imaging systems manufacturer for government and defence agencies, and the country’s largest exporter of those systems by volume, based on FY24–FY26 data. Those rankings are company claims, rather than independently established findings.