Sterling and Wilson Solar Limited's three-day initial public offer (IPO) opened for subscription on Tuesday. Sterling and Wilson Solar, a Shapoorji Pallonji group company, plans to raise Rs 3,125 crore by selling 4-4.03 crore equity shares in the price band of Rs 775-780, according to the red herring prospectus filed by the company with market regulator Securities Exchange Board of India (SEBI). The issue is entirely an Offer for Sale (OFS) in which its promoters Shapoorji Pallonji and Company Private Limited and Chairman Khurshed Yazdi Daruvala are selling their shares. According to the company's red herring prospectus, 75 per cent of the IPO is reserved for qualified institutional buyers (QIBs), 15 per cent for non-institutional investors and the remaining 10 per cent for retail investors.
Sterling and Wilson Solar Company profile
Sterling and Wilson Solar Ltd (SWSL) is a global pure-play, end-to-end solar engineering, procurement and construction (EPC) solutions provider. It was the world's largest solar EPC solutions provider in 2018 based on annual installations of utility-scale photovoltaic systems of more than five mega-watt peak, brokerage HDFC Securities said in a note.
Sterling and Wilson Solar IPO Fund utilisation
The objects of the offer are to achieve the benefits of listing the equity shares on the stock exchanges and for the offer of the equity shares by the promoter selling shareholders.
Sterling Wilson and Solar (SWSL) expects that listing of the equity shares will enhance its visibility and brand image and provide liquidity to its shareholders and will also provide a public market for the equity shares in India, the red herring prospectus noted.