Solar Industry Buzz: Premier Energies Files ₹1,500 Crore IPO

Premier Energies files ₹1,500 crore IPO, set to illuminate the solar industry

Solar module manufacturers and solar cells have filed preliminary papers with regulator capital markets (SEBI) to raise funds for an initial public offering. Solar cells are one of the tech giants in the Premier Energies.

Premium Energies files IPO worth 1,500 crore equity shares, which consists of fresh issuance IPO, and the offer-for-sales (OFS) has shares equity of 2.82 crore and is owned by existing shareholders of the firm. 

The selling shareholders in the OFS are South Asia Growth Fund II Holdings LLC, South Asia EBT Trust, and promoter Chiranjeev Singh Saluja.

72.23 percent stake held by promoters on a fully diluted basis and 26.12 percent held to share by public shareholders at the time of draft filling papers, includes south Asia EBT Trust and South Asia Growth Fund || Holdings LLC and South Asia EBT Trust. Shareholding the 1.65 percent in the firm and more than further employees.

The firm is based in Hyderabad and has mobilized 300 crores, which is considerable in a pre-IPO placement. The red herring catalog has been filed before the registered firms.

 The 2^nd largest integrated solar module manufacturer and solar cell have an installed annual capacity of 2GW and 3.36W, respectively; Rs 1,168.74 crore will be spent on the establishment of net fresh issue proceeds, 4 GW solar industry PV TOPCon module manufacturing and Solar PV TOP con cell 4GW facility of manufacturing in Hyderabad by Premier Energies Global Environment(PEGEPL), PV Subsidiary. The issue Premier Energies of remaining fresh money is used for general corporate purposes.

The firm, on the financial front, focuses on independent power production, O&M services, and EPC project execution with respect to EPC projects. It has posted a combined loss for the year that ended FY23, March 13.3 crore, and the previous fiscal loss of 14.4 crore, but operating revenue still skipped by 92.3 percent to 1,428.5 crore during the same period.

The  5 manufacturing facilities' premier energies in Hyderabad have provided offerings to businesses, including several customers like Tata Powe, Shakti Pumps, Panasonic Life Solutions, NTPC, Bluepine Energies, Hartek Solar, and Green Infra Wind Energy, and Luminous Power Technologies.

As of March 15, 2024, the company's order book was Rs 5,362 crore, of which Rs 1,197.5 crore came from the non-DCR solar modules segment, Rs 3,212.9 crore from DCR solar modules, Rs 801.5 crore from the solar cells division, and Rs 150 crore from the EPC projects.

JP Morgan India, Kotak Mahindra Capital Company, and ICICI Securities are the issue's book-running lead managers.