Shapoorji Pallonji Group has reportedly hired ICICI Securities Ltd for IPO of its solar engineering, procurement and construction (EPC) business.
Shapoorji’s solar EPC business is housed under Sterling and Wilson Pvt. Ltd.
A close source aware of the matter speaking to Live Mint on condition of anonymity said that “They have recently appointed ICICI Securities to start work on the IPO process. Once the work progresses to an advanced stage, they will appoint more bankers.” He added that the group is also looking at a pre-IPO fundraise in the solar engineering business. “The pre-IPO funding will help establish a benchmark valuation for the eventual public offering. That process is being run parallelly. The group expects the solar business to fetch a valuation of around $3.5-4 billion,” he said.
Second source preferring to anonymous said that publication, “the solar engineering business could be an attractive prospect for investors given its global geographic presence.” He added “The business has grown considerably in size over the last few years, especially on the back of overseas business. They earn close to 80% of their revenue from overseas markets. So, the business has significantly lower geographic and currency risks.”