Renewable energy producer ACME Solar Holdings is planning to re-file the draft red herring prospectus for its initial public offering (IPO), two people aware of the matter said to Livemint.
ACME Solar builds and maintains solar power projects and generates revenue through the sale of electricity to central and state government entities and government-backed companies.
The company is looking to raise around Rs1,000-1,500 crore through the revised IPO, said one of the spokesperson to Livemint. In September, ACME Solar had first filed its DRHP with Sebi to raise Rs2,200 crore through the IPO.
“As per Sebi guidelines, an issuer needs to re-file prospectus, if it needs to modify end use of IPO beyond 20%. Since we had deadline to fund our under-construction projects which were supposed to be funded from IPO proceeds, we funded them from internal accruals and promoter equity instead of awaiting IPO proceeds. Therefore, end-use of funds to be raised from IPO has changed and we will have to re-file the prospectus again with revised end-use,” Nikhil Dhingra, chief financial officer of ACME Solar, said to Livemint.
According to Dhingra, the company would be re-filing DRHP only after the financials of March 2018 are audited. “Current financials of March 2018 would also be captured in the revised filing as earlier financials in DRHP were valid till a certain time. It can only be done now post-March results are audited,” added Dhingra.
As of September 2017, the company had a portfolio of 874MW of operational solar power projects across 12 states.
