Overview of the Premier Energies IPO, covering important details such as the IPO date, price, allotment process, and more

Premier Energies is a leading Indian renewable energy company specializing in the manufacturing of solar photovoltaic cells and modules. It has published that its IPO is going to be open on 27^th August 2024 and will end on 29^th August 2024. The company aims to gather INR 2,830.40 crore with 3,42,00,000 equity shares with a price range of INR 427 to INR 450 per share, a face value of INR 1 per share.

Table of Contents

• Company Overview
• Company Strategy
• Details on IPO Date and Price Band
• IPO Objective
• Market Lot Information on Premier Energies IPO
• Allotment Dates for Indian Premier Energies IPO
• Application Process of IPO
• Financial Analysis of Company
• IPO Valuation
• Competitor Analysis
• Promoters And Management
• Registrar for Premier Energies IPO
• Offer Lead Manager
• Company Address

Company Overview

Premier Energies is one of the leading solar PV manufacturing companies of India which started its operations in 1995. The company’s strategic vision is closely linked to innovation and environmental responsibility. currently, it owns a modern production in Hyderabad, India, which can produce high-efficiency solar products. Premier Energies serves both national and global consumers and offers tailored solar solutions for homes, businesses, and industries. The company aims to promote under one roof renewable energy solutions based on quality and reliable solar products that will help in reducing the carbon footprint and promoting green India and its vision of expanding its renewable energy sector.

Company Strategy

To ensure its corporate strategy becomes relevant in today’s market, Premier Energies has implemented a corporate strategy that entails diversification and expansion. The planning involves linking all these businesses together so that the company becomes a one-stop construction solution. It is involved in the acquisition and improvement of energy properties either individually or through its subsidiaries, up to 60%. It specializes in business in sectors such as manufacturing, IPP (Independent Power Producer), and EPC (Engineering Procurement Construction). These strategies include making Premier Energies one of the preferred employers in the renewable energy sector by 2025 and becoming a key manufacturer of solar products and an EPC company by the year 2023. It also intends to carry out an IPO to help it expand more and grow further.

Details on IPO Date and Price Band

 IPO Objective:

The purpose of Premier Energies’ IPO is to get the funds for investing in its subsidiary, Premier Energies Global Environment Private Limited (PEGEPL), to partially fund the 4 GW Solar PV TOPCon Cell and 4 GW Solar PV TOPCon Module manufacturing unit in Hyderabad, Telangana, India. Further, part of the funds to be raised through the IPO offer will be used for other corporate purposes that will help the company grow and meet various operational needs, especially as it moves ahead to develop more renewable energy solutions.

Market Lot Information on Premier Energies IPO

The lot size and corresponding amounts are as follows:

• Retail Minimum: 1 lot (33 shares) for INR 14,850
• Retail Maximum: 13 lots (429 shares) for INR 1,93,050
• S-HNI Minimum: 14 lots (462 shares) for INR 2,07,900
• B-HNI Minimum: 68 lots (2,244 shares) for INR 10,09,800

Allotment Dates for Premier Energies IPO

Premier Energies IPO open date is August 27 and the IPO close date is August 29. The IPO allotment date is August 30 and the listing date is September 3.

Application Process of IPO

The IPO can be accessed by submitting an application through the online ASBA (Application Supported by Blocked Amount) facility from the bank through ‘Internet banking’, going to ‘Invest’, and applying for Premier Energies. On the other hand, the IPO forms are also available for download on the BSE and NSE websites which the candidates can fill and submit.

Financial Analysis of the Company

Financials in INR Crores.

Premier Energies reported significant financial growth from 2022 to June 2024. The company’s revenue increased from INR 767.03 crores in 2022 to INR 3,171.31 crores in 2024, with a notable jump to INR 1,668.79 crores by June 2024. Profit after tax also rose substantially, from INR 14.41 crores in 2022 to INR 231.36 crores in 2024, and further to INR 198.16 crores by mid-2024. Despite higher expenses in 2023, the company’s profitability improved due to revenue growth and efficient cost management, reflecting a robust financial position with assets increasing from INR 1,341.49 crores in 2022 to INR 3,735.50 crores by June 2024.

IPO Valuation (FY 2024)

The company’s EPS stands at a value of INR 6.93 with a Return on Net Worth (RoNW) of 37.46% and a Net Asset Value (NAV) per share of INR 14.63 in the financial year 2024. The IPO price band ranges from INR 427 to INR 450 with the issues of 34,200,000 equity shares to raise INR 2,830.40 and face value INR 1 per share to fund a 4 GW Solar PV TOPCon manufacturing facility in Hyderabad and support general corporate purposes for growth.

 Competitor Analysis

Here is the competitor of Premier Energies:

Websol Energy System

Websol Energy System is a well-known Indian company that produces solar photovoltaic (PV) cells and solar modules including highly efficient monocrystalline and polycrystalline silicon solar products. The company started its operation in 1990 and has its corporate office in Kolkata and a sophisticated plant at Falta, West Bengal. Websol Energy operates both in India and the global market offering solar solutions for residential, industrial, and commercial use. It has implemented a comprehensive business strategy that entails the use of technology to foster innovation, quality, reliability, and sustainability in the firm’s energy solutions.

Promoters And Management

• Surender Pal Singh Saluja
• Chiranjeev Singh Saluja.

Offer Lead Manager

Kotak Mahindra Capital Company Limited

Kotak Mahindra Capital Company Limited is one of the leading investment banks and financial institutions based in India and is a part of the Kotak Mahindra Group. These include equity capital markets, debt capital markets, mergers and acquisitions advisory, and structured finance solutions. The company’s services are used by companies, banks, and even governments, which strengthens it. Offering both thorough knowledge of the market and excellent execution, Kotak Mahindra Capital is a well-established player in the Indian financial market.

J.P. Morgan India Private Limited

1. P. Morgan India Private Limited is a branch of JPMorgan Chase & Co., an international firm providing banking, financial & professional services. These include asset management, investment banking, private banking, treasury and securities, and market making. Over the years, J. P. Morgan India has worked towards meeting the financial needs of different corporate, government, and institutional clients, leveraging global best practices with a deep understanding of the Indian context to help clients achieve their goals and objectives.

ICICI Securities Limited

ICICI Securities Limited is a financial services company of ICICI Group in India. It offers various financial services virtually such as retail and institutional broking, investment banking, wealth management, and financial product distribution. The company has a strong online presence with strong, effective, and technically innovative operational models that target retail customers, corporates, and HNWI and operates towards offering holistic financial services along with expanding financial access in the country.

Conclusion

Premier Energies’ IPO presents a significant opportunity for investors to participate in the growth of one of India’s leading renewable energy companies. With a target to raise INR 2,830.40 crore through the issuance of equity shares, the company is poised to expand its solar PV manufacturing capabilities and further its mission of promoting sustainable energy solutions. The financial growth of Premier Energies, coupled with its strategic initiatives, makes this IPO an attractive proposition for those looking to invest in the renewable energy sector.