Solarworld Energy Solutions has filed draft papers with the Securities and Exchange Board of India (SEBI) to raise Rs 6 billion (~$71.6 million) through an Initial Public Offering (IPO).
The IPO includes a fresh equity issuance of Rs 5.5 billion (~$65.6 million) worth of shares and an offer-for-sale of Rs 500 million (~$5.9 million) by its promoter, Pioneer Facor IT Infradevelopers. The promoters currently hold 82.15% of the equity stake in the company, while public investors such as Value Quest Scale Fund own the remaining 17.85%.
The Uttar Pradesh-based company, which specializes in engineering, procurement, and construction (EPC) services for solar power projects, may raise an additional Rs 1.1 billion (~$13.1 million) through a preferential allotment or other methods before submitting its Red Herring Prospectus to the Registrar of Companies.
Any funds raised through this pre-IPO process will be subtracted from the fresh issue. The company has over 500 MW of operational ground-mounted solar projects and a target of achieving 5 GW by 2028. Solarworld is currently developing 700 MW of solar projects.
Recently, Solarworld Energy Solutions signed a contract with SJVN Green Energy, a wholly owned subsidiary of SJVN, to supply a balance of system package for two grid connected solar power projects with a total capacity of 360 MW in Gujarat.
The two projects, with 100 MW and 260 MW capacity, will be installed at Mothara village in the Kutch district of Gujarat. In July 2022, SJVN signed the EPC contract with Solarworld Energy Solutions to deploy a 75 MW solar project in Gurah village in Jalaun district and a 50 MW project in Gujrat village in Kanpur district. The estimated cost of these two EPC contracts was Rs 6.91 billion (~$83.1 million), which includes end-to-end delivery of the solar project and operation and maintenance for two years.
