Continuum Green Energy seeks INR 36.5b through maiden offering

This will be used to repay outstanding borrowings availed by its subsidiaries.

Independent power producer Continuum Green Energy has filed its draft red herring prospectus with the Securities and Exchange Board of India as it targets raising up to INR 36.5b through an initial public offering.

According to the company, the offering will consist of fresh issue of equity shares with a face value of INR 10 each, aggregating up to INR 12.5b, and an offer for sale of equity shares also with a face value of INR 10 each, aggregating up to INR 24b.

Net proceeds from the IPO will be used to repay/prepay in full or in part certain outstanding borrowings availed by its certain subsidiaries, including payment of accrued interest thereon, through investment in such units. It will also be used for general corporate purposes.

Various power companies in India have launched their maiden offering this year amidst an expanding energy sector. This includes ACME Solar that conducted an IPO later this year at a price band ranging from INR 275 to INR 289 per equity share of face value of INR 2 each.