On August 8, one of the growing power solutions providers, Powerica Limited has filed its Draft Red Herring Prospectus with SEBI in order to float its IPO.
The company is planning to raise funds of ₹1,400 crores. This IPO consists of both a fresh issue of worth ₹700 crore and an Offer-for-Sale up to ₹700 crore, in which the promoter Naresh Oberoi Family Trust will be selling ₹490 crore, while Kabir & Kimaya Family Private Trust will be selling shares of ₹210 crore.
Powerica is also planning to raise funds of ₹140 crore in a pre-IPO round. If they successfully raise the funds in the pre-IPO placement, then the funds of ₹140 crore will be reduced from the fresh issue size.
Founded in 1984, Powerica is one of the leading high-speed power generated solution providers will use funds of ₹525 crore from its fresh issue to repay part of its ₹1,012.60 crore debt, with the rest for general purposes.
Its business is mainly DG sets powered by Cummins engines, MSLG units with Hyundai, and related services (85% of revenue), with wind power contributing 15%.
Initially, Powerica joined the wind power business in 2008 and runs 11 projects in Gujarat with a total capacity of 279.55 MW.
The appointed merchant bankers to the issue are ICICI Securities, IIFL Capital Services, and Nuvama Wealth Management.
As for financials, in FY25, the company generated a revenue of ₹2,653.3 crore, 20% higher than the previous year. While generating the net profit of ₹166.8 crore, 26.3% down compared to last year.
Powerica IPO Prospectus:
| DRHP Draft Prospectus: | Click Here |
| RHP Draft Prospectus: | To be Updated Soon |
Powerica Company Financial Report
Amount ₹ in Crores
| Period Ended | Revenue | Expense | Profit After Tax |
| 2023 | ₹2,422.42 | ₹2,222.38 | ₹106.45 |
| 2024 | ₹2,356.77 | ₹2,016.04 | ₹226.11 |
| 2025 | ₹2,710.93 | ₹2,465.30 | ₹175.83 |
Powerica IPO Valuation – FY2025
Powerica IPO valuations detail like Earning Per Share (EPS), Price/Earning P/E Ratio, Return on Net Worth (RoNW), and Net Asset Value (NAV) details.
| Earning Per Share (EPS): | ₹15.26 (Basic) |
| Price/Earning P/E Ratio: | N/A |
| Return on Net Worth (RoNW): | 15.37% |
| Net Asset Value (NAV): | ₹47.57 |
Peer Group Comparison
| Company | EPS | PE Ratio | RoNW % | NAV | Income |
| Cummins India Limited | 72.15 | 48.94 | 26.45% | 272.78 | 10,390.69 Cr. |
| Kirloskar Oil Engines Limited | 33.71 | 26.85 | 15.85% | 212.60 | 6,349.13 Cr. |
| NTPC Green Energy Limited | 0.67 | 159.93 | 2.58% | 21.88 | 2,209.64 Cr. |
| Acme Solar Holdings Limited | 4.55 | 64.94 | 5.59% | 74.54 | 1,405.13 Cr. |
| Adani Green Energy Limited | 8.37 | 120.02 | 11.90% | 76.62 | 11,212.00 Cr. |
Objects of the Issue
- Prepayment/repayment of certain outstanding borrowings availed by our Company, in part or full; and
- General corporate purposes
IPO Lead Managers aka Merchant Bankers
- ICICI Securities Limited
- IIFL Capital Services Limited
- Nuvama Wealth Management Limited
