Markets regulator SEBI has put Inox Clean Energy's ₹10,000 crore IPO on hold while investigating ongoing transactions involving the INOXGFL group entities. The suspension comes amid discrepancies in reported sale amounts and concerns about how certain subsidiaries were valued and sold. SEBI noticed a mismatch between a ₹290 crore board-approved sale and only ₹90 crore showing up in the company's books, raising questions about the accuracy of financial reporting. The regulator is also examining why companies like Inox Neo Energies were sold at face value, even though they were later valued much higher.
Gujarat-based Inox Clean Energy, part of the INOXGFL Group, has filed its Draft Red Herring Prospectus (DRHP) with SEBI on September 29, proposing to raise up to ₹10,000 crore through an initial public offering. The company may also explore a pre-IPO placement of up to ₹1,600 crore. In case such a placement is completed before the red herring prospectus is filed with the Registrar of Companies (RoC), the fresh issue size will be reduced by the amount raised through the placement.
A major portion of the fresh issue proceeds is proposed to be used for debt reduction. Inox Clean Energy plans to deploy ₹6,000 crore from the net fresh issue proceeds towards repayment or reduction of its debt. The balance amount will be used for general corporate purposes. According to the DRHP, the company's consolidated outstanding borrowings stood at ₹16,781.8 crore as of August 2026.
Inox Wind received SEBI summons, and Devansh Jain received a separate summons concerning SEBI's investigation into trading in PVR Inox shares. For now, Inox Green Energy Services says any errors were unintentional, and no show-cause notice, order, or adjudication proceedings were initiated by SEBI against Inox Green as of the filing date. The ongoing investigation highlights the regulatory scrutiny facing the INOXGFL group entities amid concerns about financial reporting accuracy and corporate governance practices.
