Tejas Network Limited - IPO

Tejas Network Ltd (TNL) is an India-based optical and data networking products company with customers in over 60 countries. It designs, develops and sells high-performance and costcompetitive products to telecommunications service providers, internet service providers, utility companies, defence companies and government entities (collectively, “Communication Service Providers”). Its products are used to build high-speed communication networks that carry voice, data and video traffic from fixed line, mobile and broadband networks over optical fibre: Its products utilise programmable software-defined hardware architecture with a common software code-base that delivers an app-like ease of development and upgrades of new features and technology standards. Currently, India is its largest geographic segment (in terms of revenue) and it is well-positioned to take advantage of the growth opportunities arising out of the Digital India and the Make-in-India programs of the Indian Government.

TNL has invested heavily in research and development in order to grow through multiple technology cycles and are well-positioned to capitalize on the expected growth in optical capital expenditure globally. For the year ended March 31, 2016, it was the second largest optical networking products company in terms of market share in India, with a market share of 15% in the overall optical networking market. Its current product portfolio targets access (i.e., the outer perimeter of a telecommunications network which connects to the end consumers), metro (i.e., networks that aggregate and distribute traffic collected from access networks within a large city or region) and long-haul (i.e., networks that interconnect metro networks using high bandwidth transmission) networks. As of April 30, 2017 it has filed 333 patent applications, with 203 filings in India, 89 filings in the United States and 6 filings in Europe, out of which 56 patents have been granted and has also filed 35 patent applications under the
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Objects of Issue:

The Offer comprises the Fresh Issue and the Offer for Sale. TNL will not receive any proceeds from the Offer for Sale. The Company proposes to utilize the Net Proceeds towards funding the following objects:

• Capital expenditure towards payment of salaries and wages of research & development team
• Working capital requirement; and
• General corporate purposes.