GP Eco Solutions India Limited is coming up with an IPO consisting of a fresh issue of 32,76,000 shares worth INR 30.79 crores. The company aims to meet working capital needs, invest in its subsidiary, and cover general expenses.
GPES Solar IPO – Important Dates
| GP Eco Solutions India Limited IPO Date | June 14, 2024 to June 19, 2024 |
| GP Eco Solutions India Limited IPO Listing Date | June 24, 2024 |
| GP Eco Solutions India Limited IPO Price | INR 90-94 per share |
| GP Eco Solutions India Limited IPO Lot Size | 1200 shares |
| GP Eco Solutions India Limited IPO Total Issue Size | INR 30.79 crores |
| GP Eco Solutions India Limited IPO Basis of Allotment | June 20, 2024 |
| GP Eco Solutions India Limited IPO Initiation of Refunds | June 21, 2024 |
| GP Eco Solutions India Limited IPO Credit of Shares to Demat | June 21, 2024 |
| GP Eco Solutions India Limited IPO Issue Type | Book Built Issue IPO |
| GP Eco Solutions India Limited IPO Listing At | NSE SME |
GP Eco Solutions IPO – Company Profile
GP Eco Solutions India Limited distributes solar inverters and panels from Sungrow, Saatvik, and LONGi in North India and provides integrated solar energy solutions. It primarily focuses on distribution over-engineering, procurement, and construction services.
Their brand, Invergy, sells hybrid solar inverters and LFP batteries. It specializes in OEM manufacturing and maintains stringent quality and reliability protocols for contract manufacturing of these products.
By managing its supply chain, Invergy guarantees smooth transitions, strict quality protocols, and reliable contract manufacturing. It also ensures efficient logistics and inventory for delivering hybrid solar inverters and LFP batteries to customers.
GP Eco Solutions India Ltd IPO Fundamental Analysis
GP Eco Solutions India Limited Technologies’ financial analysis reveals a mixed performance. Revenue has grown, equity indicates expansion, profitability and EPS rose, RoNW decreased, and assets and liquidity strengthened, but the inventory turnover ratio suggests slower sales.
- Revenue Trend: The revenue increased from ₹8,344.76 lakhs in March 2022 to ₹10,121.24 lakhs in March 2023. The revenue for the current year’s 9-month period ending December 2023 is INR 10,121.24 lakhs.
- Equity and Liabilities: Equity has shown a consistent increase over the periods, reflecting potential growth and expansion. However, the debt-equity ratio has decreased, indicating reduced reliance on debt financing.
- Profitability: The profit after tax (PAT) has significantly increased from ₹277.17 lakhs in March 2022 to ₹473.27 lakhs by December 2023. This improvement in profitability could be a source of confidence among investors.
- Earnings per Share (EPS): The diluted EPS has risen from ₹3.85 in March 2022 to ₹6.57 by December 2023, reflecting higher earnings per share for investors.
- Return on Net Worth (RoNW): The RoNW has reduced from 87.60% to 42.70%, indicating a decrease in the company’s ability to generate returns on shareholder equity.
- Financial Position: Total assets have increased, suggesting potential business growth. However, the current ratio has increased, indicating strengthening liquidity and potential challenges in meeting short-term obligations.
- Inventory Turnover Ratio: There’s a significant decrease in the Inventory Turnover Ratio, which might suggest slower sales or inefficient inventory management.
GPES Solar IPO Financial Analysis
| Particular | As of 31 March 2022 | As of 31 March 2023 | As of 31 December 2023 |
| Revenue (₹ in lakhs) | 8,344.76 | 10,121.24 | 7,840.37 |
| Equity (₹ in lakhs) | 454.98 | 824.81 | 1,298.08 |
| Expenses (₹ in lakhs) | 7,978.42 | 9,941.60 | 7,219.90 |
| Profit and Loss After Tax (₹ in lakhs) | 277.17 | 369.82 | 473.27 |
| Diluted EPS only (₹) | 3.85 | 5.14 | 6.57 |
| Return on Net Worth (%) | 87.60 | 57.79 | 42.70 |
| NAV per Equity Share (₹) | 6.32 | 11.46 | 18.03 |
| Total Assets (in lakhs) | 1,904.89 | 4715.19 | 4728.75 |
| Total Liabilities (in lakhs) | 1,449.91 | 3,890.38 | 3,430.67 |
| Debt Equity Ratio | 1.14 | 1.60 | 1.11 |
| Current Ratio (in times) | 1.21 | 1.11 | 1.31 |
| Inventory Turnover Ratio | 20.81 | 10.85 | 5.30 |
GP Eco Solutions IPO Peer Comparison
GP Eco Solutions India Limited shows strong revenue growth and improving liquidity but a lower return on net worth. Sungarner Energies Limited has higher earnings per share and return on net worth, indicating strong profitability and efficiency.
| Company | Total Income (₹ in lakhs) | Face Value per Equity Share (₹) | P/E Ratio | EPS (Basic & Diluted) (₹) | RoNW (%) | NAV per Equity Share (₹ in lakhs) |
| GP Eco Solutions India Limited | 10,447.63 | 10 | – | 5.14 | 57.79 | 11.46 |
| Sungarner Energies Limited | 1,765.33 | 10 | 59.14 | 6.35 | 23.18 | 19.10 |
GPES Solar IPO Objective
The main objective of GP Eco Solutions India Limited is to meet working capital requirements, invest in subsidiary Invergy India for plant, machinery, and construction, and cover general corporate expenses.
- To meet the Working Capital requirements of their company, GP Eco Solutions, the company intends to utilize INR 12.45 crores for working capital needs, funded through internal accruals, net worth, bank financing, channel funding, and unsecured loans to support future growth and existing operations.
- Investment in their subsidiary, Invergy India Private Limited (“IIPL”), in relation to setting up a manufacturing Facility located at B-39, Sector-59, Gautam Buddha Nagar, Uttar Pradesh: The company plans to utilize INR 7.60 crores to establish an in-house assembly unit for solar inverters in subsidiary IIPL, including INR 1.50 crores for civil works and INR 6.10 crores for plant, machinery, and assets.
- General Corporate Purpose: The company will allocate funds to general corporate goals, including meeting operating expenses, branding, promotion, advertisements, unforeseen difficulties, and other purposes essential for its business.
GPES Solar IPO Risks And Challenges
GP Eco Solutions India Limited’s risks include reliance on bank guarantees and pledged assets, absence of long-term vendor agreements, posing supply disruptions, and impacting financial health and operational efficiency.
- Their company has availed Bank Guarantees totaling INR 4 crore for procurement and distribution facilities from M/s Sungrow India Private Limited. They cannot assure against future defaults.
- They’ve pledged movable property and booked debts as security for INR 9.50 crore in bank facilities. A default may lead to property forfeiture, significantly impacting the business, financial condition, and operations.
- The company lacks long-term agreements with vendors and relies on annual renewals. This non-exclusive distribution model poses risks, including supply disruptions and potential adverse impacts on financial health and operational efficiency.
GP Eco Solutions India Ltd IPO – Industry & Market Potential
The Solar Inverter Market, valued at USD 7.7 billion in 2022, is projected to reach USD 17.9 billion by 2030. Inverters are crucial in solar systems, converting DC to AC and ensuring safety and efficiency, especially in grid-connected applications.
The Indian solar power market is expected to grow at a CAGR of 34.24% between 2022 and 2027, reaching USD 273.82 billion. The report includes market segmentation, growth drivers, trends, and challenges.
The India solar power market report forecasts revenue growth. It analyzes trends and opportunities from 2017 to 2027, covering grid-connected and off-grid applications and utility and rooftop end-users.
GP Eco Solutions IPO – Type of Offer
GP Eco Solutions India Limited is coming up with an IPO consisting of a fresh issue of 32,76,000 shares worth INR 30.79 crores. The company aims to meet working capital needs, invest in its subsidiary, and cover general expenses.
GPES Solar IPO Offer Size
The offer size of GP Eco Solutions India Limited is INR 30.79 crores, consisting of a fresh issue of 32,76,000 shares. The company seeks funds to meet working capital needs, invest in its subsidiary, and cover general expenses.
GP Eco Solutions IPO Allotment Structure
GP Eco Solutions India Limited’s allocation will be as follows: 50% for Qualified Institutional Buyers (QIB), 35% for Non-Institutional Investors (NII), and 15% for Retail Individual Investors (RII) according to SEBI regulations. 327,600 shares are reserved for market makers.
● Qualified Institutional Buyers (QIB): As per SEBI regulations, 50% of the shares offered through the IPO will be reserved for Qualified Institutional Buyers. These include entities such as banks, mutual funds, and insurance companies.
● Non-Institutional Investors (NII): 35% of the shares will be reserved for Non-Institutional Investors. These typically include corporate bodies or individuals investing more than Rs.2 lakhs.
● Retail Individual Investors (RII): The remaining 15% of the shares will be allotted to Retail Individual Investors. These individual investors apply for shares with a total value of less than Rs.2 lakhs.
● Market Maker Reservation: A portion of shares, i.e. 327,600 shares, are reserved for marker makers.
How to apply for a GP Eco Solutions India Limited IPO?
To apply for the GP Eco Solutions India Limited IPO through Alice Blue, you would typically follow these steps:
Open a Demat and Trading Account: If you don’t have one already, you must open a Demat and trading account with Alice Blue.
- Check for IPO Details: Once your account is active, you can check for the GP Eco Solutions India Limited IPO details in the IPO section of the Alice Blue platform.
- Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
- Submit the Application: Confirm all your details and submit your application.
You can apply for the GP Eco Solutions India Limited IPO at Alice Blue in just a few clicks!
Check Allotment Status: After the allotment process, you can check the allotment status to see if you have received any shares.
Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.
How do you check GP Eco Solutions India Limited’s IPO Allotment Status?
Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:
- Log in to your Alice Blue Account: You can do this through the Alice Blue website or their trading app.
- Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
- Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
- Select the GP Eco Solutions India Limited IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the GP Eco Solutions India Limited IPO.
- Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.
If you face any issues, it’s recommended that you contact Alice Blue’s customer support for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the GP Eco Solutions India Limited IPO:
● Registrar’s Website: Visit the website of Bigshare Private Services Limited, the registrar of the GP Eco Solutions India Limited IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN, application, or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.
● NSE SME: You can also check the allotment status on the official websites of the National Stock Exchange (NSE) Small Medium Exchange (SME). You would need your application number and PAN to check the status.
Please note that the allotment status will only be available after completing the allotment process, a few days after the IPO window closes.
GP Eco Solutions India Limited Ltd IPO Offer Registrar
The registrar for the GP Eco Solutions India Limited IPO is Bigshare Private Services Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
BIGSHARE SERVICES PRIVATE LIMITED
Office No. S6- 2, 6th Floor,
Pinnacle Business Park, Next to Ahura Centre,
Mahakali Caves Road, Andheri (East),
Mumbai – 400093, India
Tel No.: +91 – 22 – 6263 8200;
E-mail: [email protected]
Website: www.bigshareonline.com
GP Eco Solutions India Limited Limited IPO – FAQs
The allotment date of the GP Eco Solutions India Limited IPO is June 20, 2024.
The price band of the issue is INR 90-94 per share.
The offer size of GP Eco Solutions India Limited is INR 30.79 crores, consisting of a fresh issue of 32,76,000 shares. The company seeks funds to meet working capital needs, invest in its subsidiary, and cover general expenses.
The listing date of GP Eco Solutions India Limited’s IPO is June 24, 2024.
