PMEA Solar files draft papers with SEBI to raise funds via IPO

Data shows that the price paid by NATCs to merchant bankers for IPOs is higher than average.

PMEA Solar Tech Solutions Ltd has filed draft papers with the Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO). The IPO comprises a fresh issue of Rs 600 crore and an offer for sale of up to 11.24 million shares by existing promoters and shareholders.

Proceeds from the fresh issue will be used for capital expenditure and debt repayment. The company plans to use the funds for setting up a fixed-tilt and tube mill manufacturing facility in Mundra, along with purchasing machinery and equipment for its plants in Nasik and Pune.

As of June 2024, the company's total borrowings stood at Rs 314.06 crore. IIFL Securities and ICICI Securities are serving as the book-running lead managers for the issue.

, with an annual installed capacity of 16 GW for module mounting assemblies and 6 GW for rolled products as of March 31, 2024. It offers a broad range of products for utility-scale and ground-mounted solar projects.

In addition to solar products, the company manufactures components for switchgears, automotive OEMs, lighting solutions, furniture for large OEMs, and partition panels for the pharmaceutical and healthcare industries. It operates 11 manufacturing facilities across Maharashtra and Gujarat.

In FY24, PMEA reported revenue of Rs 1,500 crore, marking an 87.3% increase from ₹800.7 crore the previous year. Net profit for the fiscal stood at Rs 103.64 crore, significantly up from Rs 27.44 crore the year prior.

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