Proceeds from IPO of subsidiary ACME Solar Holdings may come in handy
ACME Cleantech Solutions will ramp up its battery manufacturing facility on the back of the government’s push towards lowering fossil fuel dependence.
“ACME has a fully integrated manufacturing facility for lithium-ion batteries that has a current production capacity of 350 MWh per annum. The company aims to expand it to 1 GWh per annum by April 2019,” a company official told BusinessLine.
An industry watcher said that this will require a capital expenditure of ₹500-600 crore.
In early 2017, the ACME group was in the news after winning bids for setting up 250 MW of solar power generation capacity in the Rewa Ultra Mega Solar Power Project at the then record low tariff of ₹2.97 a unit. The entire project with a total solar installed capacity of 750 MW in Rewa district of Madhya Pradesh is expected to be completed in 2018.
And by December 2017, ACME Solar Holdings got the nod of markets regulator Securities and Exchange Board of India (SEBI) to raise ₹2,200 crore through an initial public offering (IPO). The Draft Red Herring prospectus was filed with the SEBI in September.
ACME Solar Holdings said that funds raised through the issue would be used to pay debt and to finance the company’s 200 MW solar power project in Rajasthan and for other general corporate purposes. ACME Solar Holdings is a subsidiary of ACME Cleantech Solutions.
According to the Draft Red Herring Prospectus, ACME Solar Holdings intends to utilise ₹541 crore from the net proceeds to repay a loan availed from ACME Cleantech Solutions.
The ACME Group was established in 2003 and originally operated as a provider of energy management solutions to wireless telecommunication operators in India. ACME Solar Holdings was established in 2015 to consolidate the group’s solar power business.
Thank you for being a loyal user of Portfolio.
Portfolio will be a paid section hereon.
Please Subscribe to get access to one of our early bird packs.
Or click on Free Trial to get 14 days free trial.
What You'll Get
-
Web + Mobile
Access exclusive content of the Hindu Businessline across desktops, tablet and mobile device.
-
Exclusive Portfolio and Investment Advice, Banking, Lifestyle and Specials
Get diverse set of perspectives from our trusted experts on Portfolio, Banking, Economy, Environment and others.
-
Ad free experience
Experience cleaner site with zero ads and faster load times.
-
Personalised dashboard
Customize your preference and get a personalized recommendation of stories based on your interest.
Published on
January 21, 2018
A letter from the Editor
Dear Readers,
The coronavirus crisis has changed the world completely in the last few months. All of us have been locked into our homes, economic activity has come to a near standstill. Everyone has been impacted.
Including your favourite business and financial newspaper. Our printing and distribution chains have been severely disrupted across the country, leaving readers without access to newspapers. Newspaper delivery agents have also been unable to service their customers because of multiple restrictions.
In these difficult times, we, at BusinessLine have been working continuously every day so that you are informed about all the developments – whether on the pandemic, on policy responses, or the impact on the world of business and finance. Our team has been working round the clock to keep track of developments so that you – the reader – gets accurate information and actionable insights so that you can protect your jobs, businesses, finances and investments.
We are trying our best to ensure the newspaper reaches your hands every day. We have also ensured that even if your paper is not delivered, you can access BusinessLine in the e-paper format – just as it appears in print. Our website and apps too, are updated every minute, so that you can access the information you want anywhere, anytime.
But all this comes at a heavy cost. As you are aware, the lockdowns have wiped out almost all our entire revenue stream. Sustaining our quality journalism has become extremely challenging. That we have managed so far is thanks to your support. I thank all our subscribers – print and digital – for your support.
I appeal to all or readers to help us navigate these challenging times and help sustain one of the truly independent and credible voices in the world of Indian journalism. Doing so is easy. You can help us enormously simply by subscribing to our digital or e-paper editions. We offer several affordable subscription plans for our website, which includes Portfolio, our investment advisory section that offers rich investment advice from our highly qualified, in-house Research Bureau, the only such team in the Indian newspaper industry.
A little help from you can make a huge difference to the cause of quality journalism!
Support Quality Journalism
Please Email the Editor