Upcoming IPO: Continuum Green Energy gets SEBI nod to raise ₹3,650 crore through the public issue

Continuum Green Energy IPO: An independent power producer, Continuum Green Energy Limited, on Monday, April 21, received the green light from the Securities and Exchange Board of India (Sebi) to launch its initial public offering (IPO). The company submitted its preliminary draft papers on December 10, 2024. 

Continuum Green Energy's business

Continuum Green Energy is an independent power producer that identifies, develops, constructs, and operates renewable energy projects in India. The company primarily supplies green power to commercial and industrial consumers, state and central distribution utilities, and power exchanges.

Since the firm was founded in 2007, the company has established a significant presence in the nation's renewable energy sector. Continuum Green Energy operates large wind projects as well as hybrid projects that combine wind and solar energy. 

Continuum Green Energy IPO Details

According to the preliminary draft papers, the renewable energy producer, Continuum Green Energy, is planning to raise ₹3,650 crore from the Indian stock market through a combination of a fresh issue and an offer-for-sale (OFS) component.

The company's IPO will include a fresh issue of equity shares amounting up to ₹1,250 crore, and the offer-for-sale (OFS) component of up to ₹2,400 crore from the firm's promoters.

Continuum Green Energy plans to use the proceeds raised from the initial public offering (IPO) to fund its repayment or prepayment, in whole or in part, of certain outstanding borrowings taken by its subsidiaries. This includes the payment of accrued interest on these borrowings, with an investment of ₹1,100 crores in the subsidiaries.

The remaining funds will be allocated for general corporate purposes, as per the draft papers. The firm may also conduct a pre-IPO placement of specified securities, raising up to ₹250 crores before filing the Red Herring Prospectus (RHP) with the Registrar of Companies (RoC).

Kotak Mahindra Capital Company Ltd, Ambit Private Ltd, Citigroup Global Markets India Private Ltd, and JM Financial Ltd are the book-running lead managers for the public issue.

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