TruAlt Bioenergy submits IPO papers, includes Fresh Issue worth Rs 750 Cr

Bengaluru-based biofuel company TruAlt Bioenergy Limited has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to raise capital through an Initial Public Offering (IPO). The IPO will feature a face value of Rs 10 per share and comprises a fresh issuance of Rs 750 crore and an offer for sale of up to 36 lakh equity shares by existing shareholders.

IPO Details and Fund Utilization

- The offering will cater to various investor categories: 75% for qualified institutional buyers, up to 15% for non-institutional bidders, and 10% for retail individual bidders.

- Proceeds from the fresh issuance will be utilized for capital expenditure, including setting up multi-feedstock operations (Rs 172.68 crore), bolstering working capital (Rs 425 crore), and general corporate purposes.

Company Overview and Expansion Plans

- TruAlt Bioenergy focuses on ethanol production, with current operations yielding 1,400 KLPD , Founded in March 2021.

- The company plans to increase its production capacity by an additional 600 KLPD across three locations, aiming for a total of 2,000 KLPD by October 2024.

- TruAlt's Compressed Biogas (CBG) unit has an annual installed capacity of 3.4 million kg , as of March 31, 2024.

- The company is also planning further expansion by setting up two greenfield ethanol units, adding another 700 KLPD capacity.

Financial Snapshot

- In fiscal 2024, TruAlt reported revenues of Rs 1,223.40 crore and a profit after tax of Rs 31.81 crore.

- The company generated revenues of Rs 756.85 crore and Rs 1,214.31 crore from its top 10 customers in FY23 and FY24, respectively, accounting for over 99% of its total revenue.

DAM Capital Advisors Limited and SBI Capital Markets Limited are the book-running lead managers for the IPO, while Bigshare Services Private Limited will serve as the registrar.

Read more :

No related blogs available.