The IPO will see Renew Power raise Rs2,600 crore in fresh capital, while existing private equity investors of the company will sell an aggregate of 94.37 million shares
Mumbai: Goldman Sachs Group Inc.-backed renewable energy company Renew Power Ltd on Wednesday filed its draft initial public offering (IPO) documents with the regulators.
Renew Power develops, builds, owns and operates utility scale wind and solar energy projects as well as distributed solar energy projects that generate energy for commercial and industrial customers.
The IPO will see the company raise Rs2,600 crore in fresh capital, while existing private equity investors of the company will sell an aggregate of 94.37 million shares, according to the draft prospectus.
Renew Power counts Goldmans Sachs, sovereign wealth fund Abu Dhabi Investment Authority, Canadian pension fund Canada Pension Plan Investment Board, Japan’s Jera Inc. and Global Environment Fund among its investors. These investors, over several tranches, have invested a total of Rs6,696.5 crore in the company since 2011.
Mint had reported on 16 April that Renew was looking to soon file for a $800-900 million IPO.
The company plans to use the proceeds of the IPO for redemption of certain debentures issued by it and for funding acquisitions and other strategic initiatives.
ReNew Power was founded in 2011 by Sumant Sinha, a former chief operating officer at wind turbine maker Suzlon Energy Ltd.
As of the date of the draft prospectus, Renew Power’s portfolio of assets stood at approximately 5.85 gigawatts (GW), comprising 3.92 GW of operational capacity, 1.66 GW of capacity under development and 0.27 GW of wind power capacity awarded in April 2018 in the fourth SECI (Solar Energy Corporation of India ) wind power auctions.
Kotak Mahindra Capital, Bank of America Merrill Lynch, Goldman Sachs India Securities, JM Financial and J.P. Morgan India, HSBC Securities and Capital Markets India, IDFC Bank, UBS Securities India and Yes Securities are managing the public offering.
ReNew Power is not the only renewable energy company planning to go public.
ACME Solar Holdings, with 874 megawatts of operating renewable assets as of September 2017, filed the DRHP for its IPO in September to raise Rs2,200 crore. Last week, Mint reported that the company is planning to re-file its draft prospectus.
In February, Sembcorp Energy India Ltd, the Indian arm of Singapore-based utility group Sembcorp Industries Ltd, filed draft documents for an initial share sale. Sembcorp operates thermal and renewable power assets in India with a total capacity of around 4 GW.