| According to the GIPCL board, funds raised through a 100 per cent book-building route would be used to finance its expansion plans, including a 250-MW lignite power plant near Surat and a project for the development of captive lignite mine estimated to cost Rs 1,448 crore. |
| The book running lead managers to the issue are Allianz Securities Ltd, Enam Financial Consultants, GSFS Capital and Securities Ltd and HSBC Securities and Capital Markets (India) Pvt Ltd. While the issue is opening on October 13, it would close on October 19. |
| One of GIPCL managing directors L Chuaungo said, "The standard of the power sector of our country is far below that of other developing countries, let alone the developed countries. Therefore, the scope is immense, as there is an impending need to increase our power production capacity. We have chalked out plans to increase our generation capacity using low-cost fuels like lignite available in our captive mines." |
| Balwant Rao, another managing director, said GIPCL's power generation capacity would increase by another 30 per cent, once the proposed plant starts operating. |
| The company's net profit has been registering excellent growth in the past two-three years from Rs 232 million in 2003 to Rs 672 million in 2004 to Rs 1,037 million in 2005. |
| GIPCL utilises gas, liquid and solid fuels for generating electricity and has adopted an environment-friendly CFBC technology. |
| The company is jointly promoted by Gujarat Urja Vikas Nigam Ltd, the former Gujarat Electricity Board, the Gujrat State Fertilisers and Chemicals Ltd, Gujarat Alkalies and Chemicals Ltd and Petrofils Cooperative Ltd. |
| The current public equity holding in the company is 13.28 per cent and the promoters hold about 68.18 per cent, while the Gujarat government, corporate houses, financial institutions, mutual funds, insurance companies, NRIs and overseas corporate bodies together account for the remaining. |
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