India-based Solar Company Gensol Plans for IPO

India-based Gensol Engineering Limited (Gensol) has filed a draft red herring prospectus as part of its planned initial public offering (IPO).

The company plans to offer up to 2.4 million equity shares of face value Rs. 10 ($0.14). Gensol is targeting to raise over Rs. 130 million ($1.88 million) from the IPO proceeds to fund its working capital requirements. The company also plans to raise funds to meet its financial needs for general corporate purposes such as brand building and strategic initiatives.

Gensol has developed about 188 MW of utility-scale and rooftop solar projects in India, according to the company filings. In addition to the EPC services, it also provides consulting services such as technical advisory and project reviews. The company claims to have provided its technical assistance to over 18 GW of solar projects. Gensol had a revenue of about Rs. 700 million ($10.1 million) for the financial year ending March 31, 2018, according to the company’s filing. The company’s income statement shows profits of around Rs. 50 million ($722,000) for the same period. The pre-offer promoters and promoter group shareholding in the company stand at around 96 percent (5,801,165 equity shares). The company is promoted by Anmol Singh Jaggi and Puneet Singh Jaggi.

Gensol’s clients include developers such as Azure Power, Adani, Avaada Energy, Oriano Clean Energy, and Mytrah Energy. The company plans to expand its operations in South East Asia, Middle East, and Africa. It also has an ongoing project in Egypt.