Saatvik Green Energy Ltd., a prominent player in the solar energy sector, has successfully raised Rs 269 crore from anchor investors ahead of its initial public offering (IPO). The company is now poised to launch its IPO to raise up to Rs 900 crore, marking a significant milestone in its growth journey.

Anchor Investment Details

The company allotted 57.94 lakh shares to nine anchor investors at Rs 465 per share, which is at the upper end of the IPO price band. The allocation of shares among the top three anchor investors is as follows:

IPO Highlights

• Total IPO Size: Up to Rs 900 crore
• Price Band: Rs 442 - Rs 465 per share
• Fresh Issue: Rs 700 crore
• Offer for Sale: Rs 200 crore by existing shareholders

Fund Utilization Plans

Saatvik Green Energy has outlined clear plans for the utilization of the funds raised:

1. Subsidiary Investment: Rs 477.23 crore to be invested in Saatvik Solar Industries for setting up a 4-gigawatt solar PV module manufacturing facility in Gopalpur.
2. Debt Repayment: Rs 166.44 crore for debt repayment at the subsidiary level.
3. Parent Company Borrowings: Rs 10.82 crore to be used for parent company borrowings.

Company Profile

Saatvik Green Energy specializes in the manufacture of solar photovoltaic modules. The company currently boasts an operational capacity of 1.8 GW. In addition to manufacturing, Saatvik Green Energy provides a range of services including engineering, procurement, construction, operations, and maintenance for solar projects.

The upcoming IPO and the significant interest from anchor investors underscore the growing importance of the renewable energy sector in India. As the country pushes towards its clean energy goals, companies like Saatvik Green Energy are positioned to play a crucial role in the transition to sustainable power sources.

Investors and market watchers will be keenly observing the IPO performance, which could serve as an indicator of market sentiment towards the renewable energy sector in India.

Saatvik Green Energy Ltd., a prominent solar module manufacturer, is set to launch its Initial Public Offering (IPO) aiming to raise Rs 900 crore. The IPO comprises a fresh issue of Rs 700 crore and an offer-for-sale of Rs 200 crore, marking a significant step for the company in the renewable energy sector.

IPO Details

• Offer Period: September 19 - September 23, 2023
• Price Band: Rs 442 - Rs 465 per share
• Minimum Investment: Rs 14,880 for one lot of 32 shares

Company Overview

Saatvik Green Energy operates two manufacturing facilities in Ambala, Haryana. The company has demonstrated strong financial growth over recent years, though specific figures are not provided.

Utilization of IPO Proceeds

The company plans to use the funds raised from the IPO for several strategic purposes:

1. Repayment of existing borrowings
2. Investment in subsidiary Saatvik Solar Industries
3. Establishment of a new 4 GW manufacturing facility in Odisha

Market Position

Saatvik Green Energy's IPO comes at a time of growing interest in the renewable energy sector. The company's expansion plans, including the new manufacturing facility in Odisha, indicate its ambition to capitalize on the increasing demand for solar modules.

Conclusion

Investors will be closely watching this IPO, given the company's position in the burgeoning solar energy market and its plans for expansion. The outcome of this IPO could provide insights into market sentiment towards the renewable energy sector in India.