Deepak Pandey Led Solar Startup GP Eco Solutions Seeks NSE Emerge Listing

Noida-based GP Eco Solutions India Limited (GPES) has confirmed its plans to go ahead with an IPO on NSE Emerge soon, after first announcing it back in March this year. “GP Eco Solar intends to raise capital between Rs. 30 Crore and Rs. 35 Crore, subject to approval. The IPO funds will fuel our growth, with Rs. 12.45 Crore allocated for working capital and expansion, and Rs. 7.6 Crore will be invested in our subsidiary Invergy India for a new solar inverter assembly facility in Noida. Remaining funds will go towards general corporate purposes.” – said Deepak Pandey, Promoter & Managing Director, GPES

“This IPO is a significant milestone for us. By going public, we gain access to the resources necessary to drive innovation and make a significant contribution to India’s sustainable future. The proceeds will allow us to expand our manufacturing capabilities, strengthen our service offerings, and solidify our position as a key player in India’s clean energy transition. ”

The global solar inverter market, valued at USD 7.7 billion in 2022, is projected to reach USD 17.9 billion by 2030, reflecting a promising CAGR of 8.8%. India’s solar power industry is anticipated to witness an even more remarkable growth, with a CAGR of 34.24% estimated between 2022 and 2027.

Astik Mani Tripathi is the other promoter and Director at the firm.

Key Highlights of the IPO:

Fresh Issuance: The IPO will comprise a fresh issuance of 32.76 lakh equity shares with a face value of ₹10 each.

Book Running Lead Manager: Corporate Capital Ventures Private Limited is the Book Running Lead Manager for the issue while Bigshare Services Private Limited is the Registrar.

Financial Performance: GP Eco achieved a revenues of Rs. 78.40 crore and earned a profit (PAT) of Rs. 4.73 crore during the nine months of the current fiscal year, which ended December 31, 2023. The company achieved a revenue of Rs. 101.21 crore and a profit (PAT) of Rs. 3.70 crore in FY2022-23. GP Eco derives a significant portion of its revenues from Uttar Pradesh distantly followed by Haryana, Maharashtra and Tamil Nadu.

The IPO comes at a time when government backed schemes like PMKUSUM,  PM Suryaghar  have injected a dose of optimism for the solar sector growth in India. Aligned to India’s target of having 300 GW solar capacity by 2030, on an existing base of just over 80 GW, solar firms have enjoyed a strong run on the stock markets, even running well ahead of performance in many cases. With tariffs on imports across the board, including 20% on inverters, local manufacturers have a protective wall to build for India and seek larger markets as well.