According to sources and the term sheet accessed by CNBC-TV18, Acme Solar has launched a qualified institutional placement (QIP) to raise fresh capital. The issue comprises a base size of ₹2,600 crore, along with a greenshoe option of ₹200 crore, totaling up to ₹2,800 crore. The company has fixed the floor price at ₹294.13 per share, representing a discount of around 4.2% to the previous closing price of ₹307.2 per share. The final issue price will be determined through the book-building process, as reported by Moneycontrol.
Shares of Acme Solar Holdings Ltd. rose sharply on Tuesday, trading at ₹330.25 in afternoon trade, up 7.5% for the day. The stock has gained 28% over the past year, significantly outperforming the Nifty 50, which is down 5.6% during the same period. The company commands a market capitalisation of around ₹20,000 crore. This positive market reaction reflects investor confidence in the QIP launch and the company's strategic expansion plans in the renewable energy sector.
If the issue is fully subscribed, it would result in an equity dilution of approximately 11.82% of the company's pre-issue outstanding equity share capital. This dilution reflects the significant capital infusion through the QIP structure, as reported by CNBC-TV18 sources. The fundraising is also expected to help the company comply with the Securities and Exchange Board of India's minimum public shareholding requirements, as promoters currently hold about 83.3% of the company's equity.
The proceeds from the fundraise will be utilized towards debt repayment and general corporate purposes, according to the term sheet accessed by CNBC-TV18. The company has also indicated that the proposed share sale is expected to help strengthen the balance sheet through debt reduction. Additionally, the fundraising comes as Acme Solar continues to expand its renewable energy and battery storage portfolio, with management focusing on timely project execution and addition of new orders.
The company is advancing large-scale battery energy storage system (BESS) projects and expects its future operational portfolio to include around 10 gigawatt-hours of battery storage capacity and 1.5 gigawatts of contracted generation capacity, subject to transmission connectivity and other external factors. During its recent earnings conference call, management emphasized that key priorities remain timely project execution and addition of new orders, positioning the company for continued growth in the renewable energy sector.
