Mumbai based Power Solutions Provider Powerica Limited has filed its Draft Red Herring Prospectus (DRHP) with capital markets regulator, Securities and Exchange Board of India (SEBI) to raise Rs 1400 crore
through Initial Public Offering (IPO).
The IPO, with a face value of Rs 5, is a mix of fresh issue of shares up to Rs 700 crore and an offer-for-sale up to up to Rs 490 crore by Naresh Oberoi Family Trust, up to Rs 210 crore by Kabir and Kimaya Family Private Trust. The offer also includes a subscription reservation by eligible employees, and a discount is being offered to eligible employees bidding in the employee reservation portion.
The proceeds from its fresh issuance worth Rs 525 crore will be utilised for prepayment/repayment of certain outstanding borrowings availed by the Company, in part or full; and general corporate purposes.
The company, in consultation with the book-running lead managers, may consider a pre-IPO placement, aggregating up to Rs 140 crore. The pre-IPO placement if completed, the fresh issue size will be reduced.
The Offer is being made through the book-building process, wherein not more than 50% of the net offer is allocated to qualified institutional buyers, and not more than 15% and 35% of the net offer is assigned to non-institutional bidders and retail individual bidders respectively.
Powerica Limited incorporated in the year 1994 and have been engaged in the business of DG sets across LHP, MHP and HHP by way of manufacturing, marketing and supply, installation, testing and commissioning (“SITC”) of the sets and also undertake the related on-site works. It is one of the OEMs for Cummins and have maintained a relationship with them for over four decades. In order to widen its offerings in the Generator Sets Business, it expanded into the MSLG business in 1996.
Its DG set customers operate across diverse sectors, including commercial (hospitality, healthcare, banking and financial services industry – banks, education, residential and other real estate), infrastructure (retail infrastructure, logistics, railways and metros), manufacturing (industrial, process industries, dairy), agriculture (including cold storage and aquaculture), information technology/data centres, government and defense, and rentals.
Powerica’s generator set business comprises of DG sets powered by Cummins engines, MSLG offerings in collaboration with Hyundai, and certain allied business activities (“Generator Set Business”).
As of the date of this Draft Red Herring Prospectus, the company owned and operated three manufacturing facilities located in Bengaluru, Karnataka; Silvassa, Dadra and Nagar Haveli; and Khopoli, Maharashtra. It has a network comprised 19 sales/marketing offices in addition to our registered and corporate offices, supported by a sales and marketing team of 126 personnel and 32 authorised dealers.
In addition to manufacturing and supply, it provides onsite installation services for DG sets. Building on its experience in the Generator Set Business, it entered the wind power sector in 2008 as an independent power producer (“IPP”) which includes developing and operating IPP projects as well as undertaking EPC and O&M activities for BoP primarily within the wind power industry (“Wind Power Business”) for a project of 4.80 MW at Samana, Jamnagar in 2008 under a 20-year PPA executed with Gujarat Urja Vikas Nigam Limited (“GUVNL”) and have since, steadily expanded its presence in Gujarat. As on March 31, 2025, it owned and operated 11 wind power projects in Gujarat, with a total installed capacity of 279.55 MW (“Operational Wind Power Projects”). In addition to its Operational Wind Power Projects, it is constructing two wind power projects of 104 MW in Gujarat that will take our IPP portfolio to a total installed capacity of 383.55 MW.
Powerica’s revenue from operations increased by 20.06% from Rs 2,210 crore in Fiscal 2024 to Rs 2,653.27 crore in Fiscal 2025 primarily on account of an increase in revenue from HHP DG sets and from LHP and MHP DG sets, sale of other components, erection, installation and other services, and from project development contract services in its EPC for BoP business. Profit after tax was Rs 175.83 crores for Fiscal 2025 as compared to ₹226.11 crores for Fiscal 2024.
ICICI Securities Limited, IIFL Capital Services Limited, and Nuvama Wealth Management Limited are the book-running lead managers and MUFG Intime India Private Limited is the registrar of the offer. The equity shares are proposed to be listed on BSE and NSE.
