Ganesh Green Bharat SME IPO to hit Dalal Street on July 5 with price band at Rs 181-190

Ganesh Green Bharat IPO

Electrical contracting service company Ganesh Green Bharat's initial public offering will hit Dalal Street on July 5, with price band fixed at Rs 181-190 per share.

The Rs 125.23-crore IPO comprises solely a fresh issue of 65.91 lakh equity shares by the company, with no offer-for-sale component.

The SME public issue will close on July 9, while the anchor book will be opened for a day on July 4.

This is the second biggest issue in terms of size this year, after KP Green Engineering, which had raised Rs 189.5 crore in March.

Ganesh Green Bharat provides several services including supply, installation, testing and commissioning (SITC) of solar and electrical goods and services to various government bodies. It has also forayed into designing, construction, installation and operation and maintenance of water supply scheme projects.

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In the last 10 years, it has completed 17 work orders worth Rs 185.2 crore under solar system & allied services, seven work orders worth Rs 21.5 crore under electrical contracting services, and two work orders worth Rs 16.7 crore under water supply scheme projects.

The order book at the end of March 2024 stood at Rs 314 crore, including 10 work orders under solar system & allied services and seven work orders under electrical contracting services.

The company, which compares with Solex Energy, Waaree Renewable Technologies, and Zodiac Energy, will utilise Rs 19 crore out of the net issue proceeds for repaying debt, Rs 11.52 crore for installation of additional plant and machinery, and Rs 60 crore for working capital requirements. The remainder IPO funds will be used for general corporate purpose.

As far as its debt is concerned, it had outstanding cash credit facility of Rs 15.7 crore from HDFC Bank and term loan of Rs 4.61 crore from Kotak Mahindra Bank.

Hem Securities is the sole book running lead manager to the issue, while KFin Technologies is the registrar for the offer.