SUMMARY
- Solarworld Energy Solutions secures Rs 110 crore in pre-IPO funding, reducing its IPO target from Rs 550 crore to Rs 440 crore.
- Investors include ValueQuest Investment Advisors and other individual backers.
- The funds will support the company’s expansion, particularly the 1.2 GW Solar PV TopCon facility in Madhya Pradesh.
Solarworld Energy Solutions has raised Rs 110 crore in a pre-IPO placement round, bringing in several investors, including ValueQuest Investment Advisors. The fresh funds will reduce the company’s upcoming initial public offering (IPO) target from Rs 550 crore to Rs 440 crore.
On November 21, 2024, Solarworld Energy Solutions allotted 31.24 lakh shares to investors at a price of Rs 352.05 per share, bringing the transaction size to Rs 109.99 crore. Key investors in this round include Valuequest Scale Fund, VQfastercap Fund, and a group of individual investors.
This pre-IPO funding is a significant step for the solar energy solutions provider as it moves closer to launching its IPO. The company had filed its preliminary papers with the Securities and Exchange Board of India (SEBI) in September, with plans to raise Rs 600 crore through the share sale. This IPO will now feature a fresh issue component of Rs 550 crore and an offer-for-sale by its promoter Pioneer Facor IT Infradevelopers.
The proceeds from the Rs 420 crore fresh issue will primarily be used to finance Solarworld’s subsidiary, Kartik Solarworld, for the construction of a 1.2 GW Solar PV TopCon manufacturing facility in Pandhurana, Madhya Pradesh. Additional funds will be directed towards general corporate purposes.
Solarworld Energy Solutions specializes in the engineering, procurement, and construction (EPC) services for solar power projects. The company has completed projects totaling 253.67 MW AC/336.17 MW DC, with another 420 MW AC/592 MW DC under development.
With a strong track record in the solar energy sector and a robust pipeline of ongoing projects, Solarworld Energy Solutions is positioning itself for significant growth in the coming years. The strategic use of funds from this pre-IPO round will play a key role in supporting its expansion plans, particularly in solar manufacturing, as the company looks to strengthen its position in the renewable energy market.
Nuvama Wealth Management Ltd and SBI Capital Markets Ltd are serving as the book-running lead managers for the upcoming IPO.
