ACME Solar IPO: Everything You Need to Know About the ₹3000 Crore IPO
Discover the details about ACME Solar Holdings' ₹3000 crore IPO, including issue size, financials, and growth prospects in India's renewable energy sector.
Updated : 1 year ago
ACME Solar IPO: A Major Step in India's Renewable Energy Market
ACME Solar Holdings Limited, one of the leading renewable energy producers in India, is set to launch its highly anticipated ₹3000 crore IPO. This IPO aims to raise funds through a combination of a fresh issue and an offer for sale (OFS). In this blog, we'll break down all the details you need to know before investing in this clean energy giant.
ACME Solar IPO Details
The ACME Solar IPO comprises a fresh issue of ₹2000 crore and an offer for sale of ₹1000 crore by ACME Cleantech Solutions Private Limited. The IPO follows a book-building process, with a face value of ₹2 per equity share.
Use of Proceeds
The company plans to use ₹1500 crore from the IPO proceeds to repay or prepay existing borrowings, which will significantly strengthen its financial position. The remaining funds will be allocated for general corporate purposes.
Company Overview: ACME Solar's Role in Renewable Energy
Founded in 2015 and headquartered in Gurugram, Haryana, ACME Solar has quickly become one of India's top 10 renewable energy producers. With an operational capacity of 1320 MW (1802 MWp) and an additional 2220 MW under construction, the company has been expanding its footprint in solar energy production. ACME Solar has a strong commitment to sustainability, with plans to further increase its capacity in the coming years.
Financial Overview: ACME Solar's Solid Growth
ACME Solar has shown consistent financial growth, with a revenue of ₹1319.25 crore and a profit of ₹698.23 crore in FY23-24. Its robust financials position the company well for future expansion in India's rapidly growing renewable energy market.
IPO Allocation and Pre-IPO Placement
Up to 75% of the IPO is reserved for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors (NIIs), and 10% for Retail Individual Investors (RIIs). The company is also considering a pre-IPO placement of up to ₹400 crore.
Listing and Key Managers
The ACME Solar IPO will be listed on major stock exchanges in India. The IPO is managed by top investment firms, including Nuvama Wealth Management, ICICI Securities, JM Financial, Kotak Mahindra Capital, and Motilal Oswal Investment Advisors.
Why Should You Invest in ACME Solar IPO?
With the Indian government focusing on renewable energy and sustainability, ACME Solar is well-positioned for growth in the years to come. The company’s strong financial performance, leadership in the renewable energy sector, and expansion plans make it an attractive opportunity for investors looking to capitalize on India’s clean energy revolution.
ACME Solar IPO: Frequently Asked Questions
- What is the size of the ACME Solar IPO?
The ACME Solar IPO is expected to raise ₹3000 crore, consisting of a fresh issue of ₹2000 crore and an offer for sale of ₹1000 crore.
- When will the ACME Solar IPO be listed?
The ACME Solar IPO will be listed on major stock exchanges in India after the subscription process is completed. Exact dates will be announced soon.
- How will ACME Solar use the proceeds from the IPO?
The proceeds will be used to repay borrowings (₹1500 crore), and the remaining funds will go toward general corporate purposes.
- What is the face value of ACME Solar shares?
The face value of each ACME Solar equity share is ₹2.
- How much is reserved for retail investors in ACME Solar IPO?
10% of the issue size is reserved for Retail Individual Investors (RIIs).
- Who are the lead managers of the ACME Solar IPO?
The IPO is managed by Nuvama Wealth Management, ICICI Securities, JM Financial, Kotak Mahindra Capital, and Motilal Oswal Investment Advisors.
- What is ACME Solar's current operational capacity?
As of March 31, 2024, ACME Solar has an operational capacity of 1320 MW (1802 MWp) in solar energy production.
- What is the rank of ACME Solar in the renewable energy sector?
ACME Solar ranks among the top 10 renewable energy producers in India by operational capacity.
- How has ACME Solar performed financially in 2023-24?
In FY24, ACME Solar reported a revenue of ₹1319.25 crore and a profit of ₹698.23 crore.
- What percentage of ACME Solar's IPO is reserved for institutional investors?
Up to 75% of the IPO is reserved for Qualified Institutional Buyers (QIBs).
- What is the pre-IPO placement in ACME Solar IPO?
ACME Solar is considering a pre-IPO placement of up to ₹400 crore.
- What is the expected listing gain for ACME Solar IPO?
The expected listing gain for ACME Solar IPO will depend on market conditions closer to the listing date.
