PMEA Solar Tech Solutions Ltd has recently submitted draft documents to the Securities and Exchange Board of India (SEBI) for a planned initial public offering (IPO). This IPO encompasses a fresh issue of shares worth Rs 600 crore, coupled with an offer for the sale of up to 11.24 million shares by existing promoters and shareholders, according to a report by MoneyControl.
The capital raised from the fresh issue is earmarked for significant investments in capital expenditure and debt reduction. Specifically, the funds will be allocated to the development of a fixed-tilt and tube mill manufacturing facility in Mundra and to the acquisition of machinery and equipment for the company’s plants located in Nasik and Pune.
As of June 2024, PMEA Solar’s total borrowings amount to Rs 314.06 crore. The IPO’s book-running lead managers are IIFL Securities and ICICI Securities, who will oversee the offering. PMEA Solar boasts an impressive annual installed capacity of 16 GW for module mounting structures and 6 GW for rolled products as of March 31, 2024. The company provides a broad array of products tailored for utility-scale and ground-mounted solar projects.
Beyond its solar offerings, PMEA Solar also produces components for switchgears, automotive OEMs, lighting solutions, large OEM furniture, and partition panels for the pharmaceutical and healthcare sectors. The company operates a total of 11 manufacturing facilities across the states of Maharashtra and Gujarat.
In the financial year 2024, PMEA Solar reported revenues of Rs 1,500 crore, representing a substantial 87.3 percent increase compared to Rs 800.7 crore in the previous year. The company’s net profit for the same period surged to Rs 103.64 crore, a significant rise from Rs 27.44 crore recorded in the prior year. In addition to PMEA Solar’s IPO, there is growing excitement around another significant IPO in the renewable energy sector.
State-run NTPC is moving forward with plans for a Rs 10,000-crore IPO for NTPC Green Energy. This IPO is intended to raise funds to support NTPC Green’s ongoing and forthcoming projects, which include solar energy initiatives, green hydrogen production, and green ammonia development. The company’s management has indicated that they aim to complete the listing of their renewable energy business by the end of the calendar year 2024.
This move is expected to enhance NTPC’s capacity in the renewable energy market and aligns with the broader trend of increased investment and interest in sustainable energy solutions. Both PMEA Solar’s and NTPC Green Energy’s upcoming IPOs reflect a significant push towards expanding India’s renewable energy infrastructure and advancing green technology initiatives.
PMEA Solar Tech Solutions Ltd is a leading provider of solar products with an annual installed capacity of 16 GW for module mounting structures and 6 GW for rolled products. Operating 11 manufacturing facilities in Maharashtra and Gujarat, the company also produces components for various industries. PMEA Solar is gearing up for a major IPO to fund expansion and debt repayment.
