You need to experiment to win and achieve things

Magellanic Cloud, a pioneering technology company, has successfully listed on the National Stock Exchange (NSE), marking a significant milestone in its growth journey. In an exclusive interview with Deccan Chronicle, Joseph Sudheer Thumma, Global CEO & Managing Director of Magellanic Cloud discusses how the listing would fuel the company’s expansion plans, innovation, and R&D initiatives, driving its vision for global growth and excellence.

Excerpts

What was the timeline goal to achieve NSE listing? Did it come early?

I didn’t achieve it early, I anticipated it much earlier, but mistakes delayed it by a year or more. To get listed on National Stock Exchange (NSE), we had to meet certain criteria, and once we did, it was fast. Until then, it wasn’t. People ask if I could have done things differently, but for me, it’s a learning curve. You need to experiment to win and achieve things.

What are the company’s plans for utilising the funds raised through the listing, and how will this impact your growth strategy?

Listing on NSE will have a significant impact. Until now, we have faced credibility, visibility, and reach gaps. This platform will provide opportunities for faster progress. I believe our future is bright, with plans to invest heavily in R&D, focussing on innovation and technology. This is where companies’ valuations are better and broader. Drone innovation is just one example. We will spend on R&D, just like companies in the US, Israel, and other countries, making them larger, even without profitability for a long time. Innovation and R&D are critical areas we will focus on.

So, you think with the diverse portfolio of services that you have, R&D will be the driving force of growth for the company?

Absolutely! Our inorganic growth strategy provides a platform to expand our customer base, explore new opportunities, and venture into additional technological spaces.

As a listed company, you will be subject to increased scrutiny and regulatory requirements. How do you plan to maintain transparency and governance standards, and what measures will you take to ensure compliance?

As a listed company, we will maintain transparency and governance standards through strong compliances, internal audits, and processes. We are focussing on transformation, with the right audit teams and internal processes. We have to be cautious with NSE compliances. To ensure transparency, we have implemented a policy where employees can ask questions and provide feedback. We carry this openness and take feedback from all employees.

What are your plans to expand presence in the global market, and how do you see the company evolving in the next 3-5 years?

We have declared our intention to acquire a company valued at $20-25 million, pending completion of due diligence. We have also announced plans for preferential allotment or QIPs. Our strategy involves acquiring companies, expanding geographically into the Middle East and Europe, and focusing on security and surveillance, including drones. Once we succeed in India, we may expand to other regions.

E-surveillance and drone-based applications are critical for various industries, including defence and security. How have Magellanic Cloud’s solutions have addressed real-world challenges in these areas?

From an e-surveillance perspective, we have minimised the need for security guards by being proactive rather than reactive. In jewellery stores, our security surveillance detects suspicious activity, alerts authorities, and has prevented theft and incidents, including fires. I find more happiness in providing solutions than making money. However, I believe that providing appropriate solutions leads to indirect financial gains.

In the drone sector, we have conducted around 20 no-cost, no-commitment trials, providing solutions to problems. We are now participating in eight RFPs on the GEM Portal, and I anticipate winning these orders soon.