Author: PPD Team Date: 02/04/2025
Prozeal Green Energy Limited has submitted its draft red herring prospectus (DRHP) to the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO) worth Rs 7.00 billion. The offering consists of a fresh issue of Rs 3.50 billion and an offer for sale of Rs 3.50 billion by existing shareholders.
Of the offer for sale, promoter selling shareholders will divest Rs 3.37 billion, while investor selling shareholders will offload Rs 130 million. The net proceeds from the IPO will be used for long-term working capital, investments in subsidiaries for debt repayment, and general corporate purposes. Nuvama Wealth Management Limited and SBI Capital Markets Limited are the lead managers for the issue.
Business performance and order book
Prozeal Green Energy specialises in solar engineering, procurement, and construction (EPC) projects, primarily catering to the commercial and industrial segment. As of the first half (H1) of financial year (FY) 2024-25, its order book stood at Rs 22.21 billion, with Rs 22.09 billion allocated to ground-mounted solar projects.
For H1 FY 2024-25, the company reported revenue of Rs 4.69 billion. Its earnings before interest, taxes, depreciation, and amortisation (EBITDA) stood at Rs 687.13 million, while net profit reached Rs 515.95 million.