According to reports, shares of wind turbine manufacturer Inox Wind Ltd rose as much as 31% above its issue price to touch Rs.426 on Thursday, after debuting on the BSE at Rs.400. At 10.24am, the shares were trading at Rs.415, up 27.78%.
Inox Wind had issued shares at Rs.325 in its initial public offering (IPO) which was oversubscribed by 18 times. The company raised around Rs.700 crore in the IPO. Inox Wind’s parent Gujarat Fluorochemicals Ltd is selling 10 million shares at Rs.315-325.
Inox Wind has allotted over 9.42 million shares for Rs.306 crore to anchor investors. Goldman Sachs India Fund, Swiss Finance Corp. (Mauritius) Ltd, Indus India Fund (Mauritius) Ltd, IDFC Infrastructure Fund and Sundaram Mutual Fund A/C Sundaram Equity Multiplier are among the anchor investors.
The company manufactures wind turbine generators (WTG) and provides turnkey solutions to wind power generators. It has licences from at least two international wind energy technology companies to manufacture WTGs.
Renewable energy is a focus industry for the government. The recent budget, which doubled the coal cess for a clean energy fund, emphasised on achieving the 175,000 megawatt (MW) target for clean energy installations by 2022.
In the nine months ended December 2014, the company produced and sold 190 WTGs compared with 60 in the year ended March 2012. Revenue for the same period was Rs.1,795 crore as compared with Rs.100 crore for the year ended March 2012. As of December 2014, its order book comprised of orders for WTG with an aggregate capacity of 1,258 MW.
Bank of America Merrill Lynch, Yes Bank Ltd, Axis Capital Holdings Ltd and Edelweiss Financial Services Ltd were the advisors for the Inox Wind share sale.