Rush For Renewable Energy IPOs
The burgeoning renewable energy industry is likely to witness an unprecedented IPO rush in the near future to tap India’s capital markets.
The burgeoning renewable energy industry is likely to witness an unprecedented IPO rush in the near future to tap India’s capital markets. About six leading companies in the sector are reportedly preparing for initial public offerings.
Former Suzlon CEO Sumant Sinha-led ReNew Power, Adani Enterprises’ subsidiary Adani Green Energy, Sembcorp India, a unit of Singapore’s Sembcorp Industries, Mytrah Energy, the State-run Indian Renewable Energy Development Agency (IREDA), and ACME Solar are some of the companies said to be lining up to tap the capital markets. The idea is to create a war chest for acquiring upcoming opportunities in renewable energy auctions, given government incentives for renewable energy projects.
But many of these fundraising plans may be severely challenged considering the current damp market conditions, lack of clarity on long-term policies and industry outlook, and overvaluation issues.
P.B. Jayakumar
Source: businesstoday.in
