Inox Green Energy Services, a subsidiary of Inox Wind, is planning to come out with its Initial Public Offering (IPO) by October this year to raise Rs 740 crore to fund its expansion plans.

Share Market Live

NSE

Sources told CNBC-TV18 that the company has gotten the Securities and Exchange Board of India's (SEBI) nod to launch Rs. 740 crore IPO.

IPO launch may be tweaked subject to market conditions. With that, the IPO is expected to consist of a mix of Fresh issues of Rs 370 crore and an Offer For Sales of Rs 370 crore, added the sources.

The company will focus on the Indian market initially and plans to tap the overseas market after establishing itself in this country, Inox Wind Chief Executive Officer (CEO) Kailash Lal Tarachandani told news agency PTI.

This is the second time Inox Green Energy Services has tried going public. The company submitted the Draft Red Herring Prospectus (DRHP) to market regulator Sebi in February in preparation for its planned IPO.

Also read: D-Street Week Ahead: Fed rate decision and foreign fund flows likely to influence market

However, the draft offer documents for the IPO were withdrawn in late April without disclosing any reason. According to the latest DRHP filed on June 17, the Rs 740-crore IPO will comprise of fresh issuance of equity shares worth Rs 370 crore and an offer-for-sale of equity stocks aggregating to Rs 370 crore by promoter Inox Wind.

"Inox Green Energy Services at present is witnessing a 30-40 per cent growth every year. Today, for Inox Green Services, the volume is close to Rs 160 crore and would touch Rs 400-500 crore in the next 3-4 years," the CEO said.

Also read: Trade setup for Sept 19: Nifty50 might sink to even lower levels soon

Inox Green Energy Services is engaged in the business of providing long-term operation and maintenance (O&M) services for wind farm projects, specifically for Wind Turbine Generators (WTGs) and the common infrastructure facilities on the wind farm, which support the evacuation of power from such WTGs.

(With inputs from PTI)

Also read: Inox Wind board approves preferential issue of Rs 400 cr to reduce debt

First Published:Sept 18, 2022 8:42 PM IST