Premier Energies collects Rs 846 cr from anchor investors ahead of IPO

Solar cell and module manufacturer Premier Energies Ltd on Monday said it has raised Rs 846 crore from anchor investors, a day before its initial share-sale opening for public subscription.
 

Nomura Funds, Abu Dhabi Investment Authority, HDFC Mutual Fund (MF), ICICI Prudential MF, Axis MF, Kotak MF, Nippon India MF, Sundaram MF and UTI MF are among the anchor investors, according to a circular uploaded on the BSE website.
 

The company has allocated 1.88 crore equity shares to 60 funds at Rs 450 apiece, aggregating the transaction size to Rs 846.11 crore, it showed.
 

The Rs 2,830-crore initial public offering (IPO) will open on August 27 and conclude on August 29. The price band has been set at Rs 427-450 a share.
 

 

The Hyderabad-based company's IPO is a combination of a fresh issue of equity shares aggregating up to Rs 1,291.4 crore and an offer for sale (OFS) of up to 3.42 crore shares, by the selling shareholders, valued Rs 1,539 crore at the upper end of the price band. This takes the total issue size to Rs 2,830 crore.
 

Under the OFS component, South Asia Growth Fund II Holdings LLC will divest 2.68 crore shares, South Asia EBT will offload 1.72 lakh shares and promoter Chiranjeev Singh Saluja will sell 72 lakh shares.
 

Proceeds from the fresh issue to the tune of Rs 968.6 crore will be allocated for investment in the company's subsidiary, Premier Energies Global Environment Pvt Ltd, for part-financing the establishment of a 4 GW Solar PV TOPCon Cell and 4 GW Solar PV TOPCon Module manufacturing facility in Hyderabad, Telangana, and the remaining funds will be used towards general corporate purposes.
 

Premier Energies is an integrated solar cell and solar module manufacturer with 29 years of experience and an annual installed capacity of 2 GW for solar cells and 4.13 GW for solar modules. It has five manufacturing facilities.
 

As of FY24, the company's revenue from operations was Rs 3,143 crore, up from Rs 1,428 crore in the preceding fiscal year.

Kotak Mahindra Capital Company Ltd, J P Morgan India Pvt Ltd and ICICI Securities Ltd are the book-running lead managers to the issue.


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