GK Energy files draft IPO documents with SEBI; The target is to raise Rs 500-crore through the new issue

New Delhi: GK Energy Ltd, a provider of solar-powered agricultural water pump systems, has filed preliminary documents with market regulator SEBI to raise funds through an initial public offering (IPO). The Pune-based firm’s proposed IPO is a combination of a fresh issue of shares worth Rs 500 crore and an offer-for-sale (OFS) of 8.4 lakh equity shares to shareholders, the draft red herring prospectus (DRHP) showed. .

The company plans a pre-IPO placement of shares worth Rs 100 crore. If the pre-IPO placement is completed, the size of the new issue will be reduced.

According to draft documents filed on Friday, an amount of Rs 422.46 crore from the fresh issue will be used to meet its long-term working capital requirements and the rest for general corporate purposes.

GK Energy Ltd is a leading pure-play provider of engineering, procurement and commissioning (EPC) services for solar powered agricultural water pump systems.

These solar powered agricultural water pump systems are proposed under Component B of the Union Government’s Prime Minister Kisan Urja Suraksha Evam Utthan Mahabhiyan (PM-KUSUM) scheme.

The company specializes in EPC of solar-powered pump systems, catering to both direct beneficiaries and other clients.

GK Energy also provides a range of additional EPC services, such as installation and commissioning of water storage and distribution systems under the Jal Jeevan Mission, a central government initiative implemented through urban local bodies.

Other offerings include supplying and installing solar products for government agencies and rooftop solar solutions.

Further, the Company is engaged in trading activities, photovoltaic (PV) cells, solar modules manufactured by third parties, and other related products.

GK Energy’s order book till October 2024 stood at Rs 759 crore.

On the financial front, the company’s operating revenue grew 44.23 percent to Rs 411.09 crore in FY2024, from Rs 285.03 crore in FY23 and profit after tax rose to Rs 36 crore in FY24, from Rs 10 crore in FY24. .

For the six months ended September 30, 2024, revenue from operations was Rs 422 crore, and profit after tax was Rs 51 crore.

IIFL Capital Services and HDFC Bank are the book-running lead managers for the issue. Equity shares are proposed to be listed on BSE and BSE.

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