Welspun Renewables Energy Pvt. Ltd (WREPL), a renewable energy company with solar and wind power generation projects, has initiated discussions with investment bankers to raise around Rs.1,000 crore through an initial public offering (IPO), said three investment bankers who have met the company seeking a mandate for the IPO. Welspun Renewables is a group company of Welspun Corp. Ltd.
In December 2014, Welspun Renewables had raised Rs.630 crore in debt from a consortium of financial institutions for its 126MW wind project in Pratapgarh, Rajasthan.
On 23 June 2014, it had raised $50 million in equity funding from Asian Development Bank by selling a 25% stake. The investment was the largest direct equity investment in clean energy by the Manila-based ADB.
Hindustan Power Projects Pvt. Ltd, a power generation company run byRatul Puri, is looking to raise capital from the public markets by listing the holding company.
“We certainly intend to do an IPO of our holding company. We are waiting for our thermal power asset to get commissioned in this fiscal year and post the commissioning of the asset we will look at potentially listing the holding company,” Puri, chairman, Hindustan Power Projects had told Minton 19 December 2014.
Though Puri did not disclose the size of the proposed issue, he said it would be a substantial amount and added that a listing would allow its existing private equity investor to exit.
In August 2010, global private equity fund Blackstone Group Lp had invested $300 million in Hindustan Power Projects for an undisclosed stake.
Hindustan Power Projects is in the midst of commissioning a 2,520MW thermal power plant in Anuppur in Madhya Pradesh. Puri, who started investing in solar power during his days in his father’s company, Moser Baer India Ltd, plans to add another 450MW to the company’s existing solar power capacity of 350MW, which requires a capital outlay of Rs.3,500 crore. Part of the capital raised through the share sale programme will be used to fund this exercise, Puri said.
(This news story is from Live MINT)