Pune headquartered Persistent Systems has filed its DRHP with Sebi on July 18, 2008 to enter the capital market with an IPO of 49,74,836 equity shares of Rs 10 each at a price to be decided at a later stage through the book building process. The issue consists of a fresh issue of 40,08,920 equity shares and an offer for sale of 9,65,916 equity shares by Dr Shridhar  Balchandra Shukla and Ashutosh Vinayak Joshi. The issue comprises a net issue to the public of 45,73,944 equity shares and a reservation to the employees of the company of 4,00,892 shares. The issue would constitute 12.48% of the fully diluted post issue paid-up capital of the company.

The company proposes to list its shares on BSE and NSE and the BRLMs to the issues are Enam Securities, JM Financial Services and Morgan Stanley.

The objects of the issue are to establish development facilities at Pune and Nagpur; to procure hardware and software and for general corporate purposes.

The company proposes to utilize the proceeds from the issue to part finance the above-mentioned project cost. The company will deploy Rs 125.50  crores towards the establishment of development centers and  Rs 13.45 crores for procuring hardware and software.

The company has arranged Rs 55.60 crores through internal accruals to part finance the project cost.

PSL have competency centers in telecom and wireless, life sciences, analytics and data infrastructure, embedded systems domains, product engineering, security, storage. Its customers range from several global software companies to early-stage companies that are developing cutting-edge technology products.

The company initially focused on research related activities until 1999 after which it began to widen the service capabilities with the objective of driving faster growth. PSL have been recognized as one of the leading technology companies in the Technology Fast 50 India 2006 program conducted by Deloitte Touche Tohmatsu, Asia Pacific. The company is an outsourced software product development specialist, offering its customers the benefits of offshore delivery.

The company delivers services across all stages of the product life-cycle, which enables it to work with a wide-range of customers and allows it to develop, enhance and deploy its customers' software products. Over the past five years, PSL have contributed to more than 2,000 product releases for its customers.

For the year ended 31.3.08, the company reported total income of Re 451.79 crores and net profit of Rs 83 crores as against total income ofRs 317.72 crores and net profit of Rs 57.48 crores for the year ended 31.3.07.