New Delhi: Sterlite Energy, a wholly-owned subsidiary of Vedanta Group firm Sterlite Industries, may hit the capital market soon with a public offering to raise up to Rs3,000 crore to part finance its expansion plans.
“Sterlite Energy is planning to come out with an initial public offer (IPO) in next three-four months,” sources close to the development said.
The company may dilute up to 10% of its stake to raise about Rs3,000 crore to fund its expansion programme.
When contacted the Vedanta Resources spokesperson declined to comment.
Sterlite Energy is working to set up two commercial power projects -- a 2,400MW plant at Jharsuguda in Orissa and another 1,980MW utility in Punjab at an investment of about Rs15,000 crore.
The company has already tied up finances worth Rs6,150 crore for its Orissa project. In addition, Sterlite Industries is infusing a capital of Rs2,050 crore.
In the first phase, the firm will commission 600MW of 2,400MW power plant in Orissa by this September-October 2009.
Vedanta Resources group companies, including Sterlite Industries and Hindustan Zinc, plan a cumulative capital expenditure of Rs20,000 in the next one year to take the overall power production (captive and commercial) to 6,500MW from the present 4,500MW.