Mumbai: Wind power solutions provider Inox Wind will hit the capital market next week to raise up to Rs 700 crore through an initial public offering (IPO) to fund expansion and meet other requirements.
The issue comprises a fresh offering of equity shares aggregating up to Rs 700 crore and an offer for sale of up to one crore equity shares, or 5 per cent of stake, held by Inox Wind promoter Gujarat Fluorochemicals to the extent of Rs 300 crore.
The issue, which will hit the market on March 18 and close on March 20. The company has fixed a price band of Rs 315-325 per share for the IPO.
"We will use the funds to primarily expand our existing capacities," GFL Director Deepak Asher told reporters here today.
The company will utilise the funds for expansion and upgradation of existing manufacturing facilities, long-term working capital requirements, investment in subsidiary Inox Wind Infrastructure Services and other infrastructure development, he said.
Inox Wind, which manufactures wind turbine generators and provides turnkey solutions for wind farm projects, had an order book of 1,258 MW as of December 31, 2014.
Its customers include Green Infra, Continuum Wind Energy, Tata Power Renewable Energy, Welspun Energy, Bhilwara Energy, ReNew Power Ventures and Hero Future Energies.
The company has facilities dedicated to manufacturing nacelles, hubs, rotor blade sets and towers. It makes 550 units per annum of nacelles and hubs at its Una unit in Himachal Pradesh and 256 rotor blades and 150 towers per annum at its factory in Rohika in Gujarat.
Mr Asher said "we have also commenced construction of a new manufacturing facility at Barwani in Madhya Pradesh to produce nacelles and hubs, rotor blade sets and towers."