Continuum Green Energy Ltd. has filed draft papers for an initial public offering of a total size of Rs 3,650 crore for repayment or prepayment of certain outstanding borrowings of its subsidiaries.
The issue will include a fresh issue of Rs 1,250 crore and an offer for sale of Rs 2,400 crore by Continuum Green Energy Holdings Ltd., according to its draft red herring prospectus. As of Dec. 9, the selling shareholder held 13.79 lakh shares, or 74% stake in the company.
Shares of the company will be listed on NSE and BSE. The issue's book running lead managers are Kotak Mahindra Capital Co., Ambit Pvt., Citigroup Global Markets India, and JM Financial Ltd.
The company is an independent power producer and focuses on supplying green power to commercial and industrial consumers, in addition to state and central distribution utilities and power exchanges. "Our largest operating single project site, the Rajkot project (Gujarat), has an operational capacity of 394.30 MWp," the company said in its DRHP.
"We intend to continue to focus on C&I consumers and by structuring the tariffs in our C&I PPAs as linked to the variable tariffs charged by distribution utilities to C&I consumers, we plan to take advantage of the increasing commercial and industrial tariff," the company said.
For the quarter ended June 30, the company reported a net loss of Rs 111.7 crore on revenue of Rs 420.3 crore. In last fiscal, the company's loss was at Rs 597.98 crore on a revenue of Rs 1,294.84 crore.
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