Let’s have a detailed review of the company and analytics of the Sterling and Wilson Solar IPO release date, IPO offer price, subscription, Sterling and Wilson Solar IPO allotment, grey market price and other details like the company’s background, its financial positions, its promoters and other related things.
Sterling and Wilson Solar Limited is an end-to-end solar engineering, procurement and construction (“EPC”) solutions provider. It also provide complete range of customized solutions for solar power projects.
Sterling and Wilson Solar IPO Review & Ratings
|IPO Ratings & Review|
|Top Brokers Review||7.9/10|
Summary of Sterling and Wilson Solar IPO
Sterling and Wilson Solar Limited is an end-to-end solar engineering, procurement and construction (“EPC”) solutions provider. They also provide complete range of customized solutions for solar power projects.
They also provide operations and maintenance (“O&M”) services, including for projects constructed by third-parties.
The Promoters of this company are Shapoorji Pallonji and Company Private Limited and Khurshed Yazdi Daruvala.
The lead managers to the issue are ICICI Securities Limited, Axis Capital Limited, Credit Suisse Securities (India) Private Limited, Deutsche Equities India Private Limited, IIFL Holdings Limited, SBI Capital Markets Limited, IndusInd Bank Limited, YES Securities (India) Limited and the Registrar to this issue is Link Intime India Private Limited.
From FY 2017-18 to FY 2018-19, as per the Restated Financial Statements
Their financial performance and their total income has grown at a CAGR of 58.32% from Rs. 27,464.67 million in Fiscal 2016 to Rs. 68,844.20 million in Fiscal 2018, and to Rs. 60,817.60 million in the nine months ended December 31, 2018 from Rs. 32,414.50 million in the nine months ended December 31, 2017.
EBITDA increased from Rs. 1,958.57 million in Fiscal 2016 to Rs. 5,504.63 million in Fiscal 2018, and Rs. 4,768.49 million in the nine months ended December 31, 2018 from Rs. 2,218.03 million in the nine months ended December 31, 2017.
The net worth of the company as on Dec 31 2018, is Rs. 7,265.09 million as per the Restated Ind AS Consolidated Summary Statement of Assets and Liabilities.
Profit after tax has grown at a CAGR of 89.57% from a combined profit after tax of Rs. 1,253.63 million and Rs. 314.32 million in Fiscals 2016 and 2017, respectively, to a consolidated profit after tax of Rs. 4,505.35 120 million in Fiscal 2018, and Rs. 3,434.30 million in the nine months ended December 31, 2018 from Rs. 1,733.62 million in the nine months ended December 31, 2017.
In Fiscal 2018 and in the nine months ended December 31, 2018, their revenue from operations outside India accounted for 59.11% and 65.13% of their total revenue from operations, respectively.
Sterling and Wilson Solar IPO Date
The opening and the closing date of Sterling and Wilson Solar IPO is Aug 6, 2019 – Aug 8, 2019.
Sterling and Wilson Solar IPO Subscription
|Day / Date||QIB||NII||RII||Total Subscription|
|1st Day – 6 Aug||0.06x||0.19x||0.06x||0.10x|
|2nd Day – 7 Aug||0.19x||0.68x||0.15x||0.32x|
|3rd Day – 8 Aug||1.02x||0.89x||0.30x||0.85x|
|Shares Offered or Net Issue||12,096,774||6,048,387||4,032,258||22,177,419|
The shares subscribed by the public will be updated here.
Sterling and Wilson Solar IPO Allotment Status
Here, you can find the Allotment Status of this IPO.
|Basis of Allotment Finalization||14-Aug-19|
|Credit of Shares to Demat Account||19-Aug-19|
|Share Listing Date||20-Aug-19|
Sterling and Wilson Solar IPO Price Band
The face value of each share is Rs 1, but the price band of the IPO is Rs 775 – Rs 780.
Sterling and Wilson Solar IPO Size & Share Offering
40,322,580 Equity Shares of Rs 1, aggregating up to Rs 3,125.00 Crores.
Sterling and Wilson Solar Limited – Company Overview
Sterling and Wilson Solar Limited is an end-to-end solar EPC solutions provider. It provide EPC services primarily for utility scale solar power projects with a focus on project design and engineering and manage all aspects of project execution from conceptualizing to commissioning. They also provide O&M services, including for projects constructed by third-parties.
They commenced operations in 2011 as the Solar EPC Division of SWPL and demerged from SWPL with effect from April 1, 2017. Over a span of seven years, they became the largest solar EPC solutions provider in each of India, Africa and the Middle East according to IHS Markit in 2018 and currently have a presence across 26 countries.
As of December 31, 2018. The company had 183 commissioned and contracted solar power projects with an aggregate capacity of 6,062.83 MWp.
They follow a “hub-and-spoke” business model where They manage the complete supply chain from India, including the design and engineering functions, and engage a few suppliers and third-party subcontractors and procure part of the raw materials for their operations locally in each of their markets, where there is a cost advantage or to comply with local regulations.
Currently, have a presence across 26 countries and as of December 31, 2018, they had 183 commissioned and contracted solar power projects with an aggregate capacity of 6,062.83 MWp.
Business strategies of Sterling and Wilson Solar Limited
- Maintain market leadership through strategic expansion of overseas operations
- Grow their customer base and maintain relationships with other key stakeholders
- Focus on increasing operational and financial efficiency
- Focus on expanding O&M, rooftop solar EPC and solar storage solutions
Sterling and Wilson Solar Limited – Financial Statements
A quick look into the past financial performance of the company to understand its performance of the business and evaluate the growth prospectus:
Financial Summary of Sterling and Wilson Solar IPO
On the basis of Standalone statement:-
|Amount (in INR & million)|
|Profit After Tax||1,250.50||1,288.50||751.20|
Earnings per Equity Share (in million)
From the above statements, one could find that Sterling and Wilson Solar Limited may perform well.
Sterling and Wilson Solar IPO – Promoters
The Promoter of this company is:
- Shapoorji Pallonji and Company Private Limited
- Khurshed Yazdi Daruvala
List of Related Parties (Key Managerial Personnel)
- Bahadur Dastoor – CFO
- Jagannadha Rao Ch. V – Compliance officer & CS
Interest in promotion of the Company
Company is currently promoted by the Promoters in order to carry on its present business. Promoters are interested in the Company to the extent of their shareholding and directorship of the Individual Promoter in the Company and the dividend declared, if any, by the Company.
The Promoters are interested in the transactions entered into the Company and the Promoter Group.
The promoters along with the promoter group will continue to hold collectively some percentage of the equity share capital of the company. As a result of the same, they will be able to exercise significant influence over the control of the outcome of the matter that requires approval of the majority shareholders vote.
Interest in Intellectual Rights of the Company
Promoters have not shown any interest in acquiring the intellectual rights of the company.
Sterling and Wilson Solar IPO Offer Details or Issue Details
|Particulars||No. Of Equity Shares|
|Equity Shares Offered||Up to [●] Equity Shares, aggregating up to Rs. 45,000|
|Reserved for Market Makers||Up to [●] Equity Shares, aggregating to Rs. [●] million|
|Net Issue to the Public||Up to [●] Equity Shares, aggregating up to Rs. [●] million|
|QIB Portion||Not less than [●] Equity Shares|
|Anchor Investor Portion||Up to [●] Equity Shares|
|Available for allocation to Mutual Funds only||[●] Equity Shares|
|Balance for all QIBs including Mutual Funds||[●] Equity Shares|
|2) Net QIB Portion (assuming Anchor Investor|
Portion is fully subscribed)
|[●] Equity Shares|
|(a) Mutual Fund Portion||[●] Equity Shares|
|(b) Balance for all QIBs including Mutual Funds||[●] Equity Shares|
|Retail Investors Portion||Not more than [●] Equity Shares|
|Non-Retail Investors Portion||Not more than [●] Equity Shares|
|Equity Shares outstanding prior to the Issue||160,360,000 Equity Shares|
|Equity Shares outstanding after the Issue||160,360,000 Equity Shares|
Sterling and Wilson Solar IPO Issue Object
These are the IPO Issue Objects of the company:
- Funding the Working Capital requirements of the Company:
- Repayment/ pre-payment of certain unsecured loans availed from banks and financial institutions by the company
Sterling and Wilson Solar IPO – Basis of the Offer Price
The issue price is determined by the company in consultation with the Lead manager on the basis of the following qualitative and quantitative factors.
Qualitative factors are:
- The largest global EPC solutions provider based on annual installations of utility-scale PV systems of more than five MWp in 2018 according to IHS Markit.
- Comprehensive end-to-end EPC solutions provider with a global execution track record.
- Dedicated design and engineering team focused on innovation and developing efficient and cost-effective engineering solutions.
- Strong relationship with customers and other key stakeholders.
- Benefit from the brand reputation, industry relationships and project management expertise of the SP group and the Sterling and Wilson group.
- Experienced strong growth and financial performance backed by an asset-light business model.
The relevant quantitative factors are:
|Basic & Diluted EPS||RONW in %||NAV (Rs.)|
- Competitive Peers:
There are no listed entities in India whose business portfolio is comparable with that of their business.
Sterling and Wilson Solar IPO Lead Managers
|ICICI Securities Limited |
Axis Capital Limited
Credit Suisse Securities (India) Private Limited
Deutsche Equities India Private Limited
IIFL Holdings Limited
SBI Capital Markets Limited
IndusInd Bank Limited
YES Securities (India) Limited
Sterling and Wilson Solar IPO Registrar to offer
|Registrar to the Offer|
|Link Intime India Private Limited|
C-101, 1st Floor, 247 Park
L.B.S Marg, Vikhroli (West)
Mumbai 400 083
Telephone no.: +91 22 4918 6200
E-mail: [email protected]
Investor grievance e-mail:
Contact Person: Shanti Gopalkrishnan
SEBI Registration No.: INR000004058
Sterling and Wilson Solar IPO Other Details:
- Statutory Auditor – B S R & Co. LLP, Chartered Accountants.
- Peer Review Auditor – B S R & Co. LLP, Chartered Accountants.
- Bankers to the Company – Union Bank of India, Axis Bank Limited, Deutsche Bank AG, Hongkong and Shanghai Banking Corporation Limited, ICICI Bank Limited, IndusInd Bank Limited, State Bank of India, Yes Bank Limited
Sterling and Wilson Solar IPO Review by Top 10 Stock Brokers
|Top Stock Brokers Review||Company Reputation||Competitive Edge||Financial Statement||Popularity Index||Promoters Reputation|
Sterling and Wilson Solar IPO Grey Market Premium
The Sterling and Wilson Solar IPO Grey Market Premium price is Rs 5-10, the Kostak rate is Rs 200 and the Subject to Sauda is NA.
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Sterling and Wilson Solar IPO News
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