Alpex Solar’s SME IPO to Open on Feb 8, Price Band Rs 109-115

Alpex Solar, a solar photovoltaic (PV) module manufacturer in North India, is launching its SME IPO on February 8, 2024. The issue will close on February 12, 2024. The price band for the IPO is Rs 109-115 per share. The minimum lot size is 1200 shares. The issue size is Rs 74.52 crores.

About Alpex Solar

Alpex Solar manufactures both monocrystalline and polycrystalline cell technologies for solar PV modules. It also provides integrated solar energy solutions, including engineering, procurement, and construction (EPC) of AC/DC solar pumps in both surface and submersible categories.

The company serves as a contract manufacturer for several large companies, such as Luminous, Jackson, and Tata Power. It also delivers solar panels to EPC companies, such as Solar World Energy Solutions Pvt Ltd, BVG India Limited, Hild Energy Private Limited, and Shakti Pumps India Limited.

The company has a manufacturing plant in Nalagarh, Himachal Pradesh, with an installed capacity of 250 MW per annum. The plant is approved by various government and private agencies, such as NTPC, NHDC, HAREDA, CREDA, PEDA, RACP, and HP Saur Sinchai Yojana.

Objects of the Issue

The company intends to use the net proceeds from the issue for the following purposes:

• Funding capital expenditure for upgradation and expansion of the existing solar module manufacturing facility by increasing 750 MW.
• Funding capital expenditure towards setting up of a new manufacturing unit for aluminum frame for the solar module.
• To meet working capital requirements of the company.
• General corporate expenses.

Financial Performance

The company’s revenue from operations increased from Rs 83.64 crores in FY19 to Rs 121.35 crores in FY21, registering a CAGR of 20.32%. The net profit increased from Rs 3.67 crores in FY19 to Rs 6.88 crores in FY21, registering a CAGR of 37.17%. The EBITDA margin improved from 7.92% in FY19 to 9.05% in FY21.

The company’s return on net worth (RONW) was 16.94% in FY21, while the net asset value (NAV) per share was Rs 40.56 as of March 31, 2021.

Lead Managers and Registrar

Corporate Capitalventures Pvt Ltd is the book running lead manager of the Alpex Solar IPO, while Skyline Financial Services Private Ltd is the registrar for the issue.

The market maker for Alpex Solar IPO is Ss Corporate Securities.

How to Apply?

Investors can apply for the Alpex Solar IPO online through UPI or ASBA mode. The UPI ID should be linked to the bank account of the investor and should have sufficient funds to apply for the IPO.

The cut-off time for UPI mandate confirmation is 5 PM on February 12, 2024.

Investors can also apply through their stock brokers using the ASBA facility. The ASBA form should be filled with the correct details and submitted to the bank before the closing date of the IPO.

The allotment status of the Alpex Solar IPO will be announced on February 13, 2024. The refund initiation or credit of shares to demat account will take place on February 14, 2024.

The listing date of the Alpex Solar IPO is expected to be February 15, 2024. The IPO will list on NSE SME platform.

Disclaimer: This article is for informational purposes only and does not constitute an offer or solicitation to buy or sell any securities. Investors are advised to do their own research and consult their financial advisors before making any investment decisions.