GK Energy Files Draft Papers With SEBI To Raise Funds Via IPO

GK Energy Ltd. filed its draft papers with the Securities and Exchange Board of India to raise funds via an initial public offering.

The maiden public issue comprises a fresh issue of shares aggregating to about Rs 500 crore and an offer-for-sale of up to 84 lakh equity shares, according to the draft red herring prospectus filed with the market regulator.

Under the offer-for-sale segment, promoter Gopal Rajaram Kabra will offload 80 lakh shares while promoter Mehul Ajit Shah will sell four lakh shares. Upon the successful completion of the IPO, the shares of the company will debut on the National Stock Exchange and the BSE Ltd.

IIFL Capital Services Ltd. and HDFC Bank Ltd. are the book-running lead managers for the issue.

Funds worth Rs 422.4 from the proceeds will be used for funding their long-term working capital requirements and the rest will be deployed for general corporate purposes.

GK Energy offers an end-to-end single-source solution for the survey, design, supply, assembly and installation, testing, commissioning and maintenance of solar-powered pump systems.

It is India’s largest pure-play provider of engineering, procurement and commissioning services for solar-powered agricultural water pump systems, the DRHP said. They currently provide the EPC for solar-powered pump systems, which comprises direct-to-beneficiary sales and sales to others.

The company's order book as of Oct. 1 stood at Rs 759.1 crore. The company earlier provided EPC services for rooftop solar-powered solutions, solar fencing, solar water heaters and solar-powered street lights. As of Nov. 30, the company leases 13 warehouses located in three states.