The Initial Public Offer (IPO) of Inox Green Energy Services Ltd., part of the Inox GFL Group and a subsidiary of Inox Wind Ltd. has opened for subscription on Friday, November 11.

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A major wind power operation and maintenance (O&M) service provider, Inox Green Energy Services is looking to raise Rs 740 crore through this IPO.

The issue is a mix of a fresh issue of equity shares worth Rs 370 crore and an Offer for Sale worth the same amount. Inox Wind will be the selling shareholder in this OFS.

Here are more details about the IPO:

Inox Green Energy provides long-term O&M services for wind farm projects.

The Inox GFL Group includes companies like Gujarat Fluorochemicals and Inox Wind. While Gujarat Fluorochemicals is engaged in the manufacturing of specialty chemicals while Inox Wind manufacturers wind turbine generators and provides turnkey solutions.

The company's operating portfolio of operations and maintenance contracts is worth 2,750 megawatts.

Inox Green raised Rs 333 crore from 27 anchor investors, allocating 5.1 crore equity shares to them at a price of Rs 65.

Prominent anchor investors include ICICI Prudential, HDFC Mutual Fund, Aditya Birla Sun Life Mutual Fund, Morgan Stanley Asia, Nomura Singapore, and Citigroup Global Markets.

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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.

However, the draft offer documents for the IPO were withdrawn in late April without disclosing any reason.

The company intends to utilise the proceeds from the IPO to repay or pre-payment in full or part, certain borrowings, including redeeming secured Non-Convertible Debentures (NCDs) in full and for general corporate purposes.

The amount utilised for general corporate purposes will not exceed 25 percent of gross proceeds.

The company is currently loss-making as of date. It reported a net loss of Rs 11.6 crore during the June quarter.

First Published:Nov 11, 2022 10:17 AM IST