Sterling & Wilson is a global pure-play, end-to-end solar engineering, procurement, and construction (“EPC”) solutions provider.
Sterling & Wilson Solar provide EPC services primarily for utility-scale solar power projects with a focus on project design and engineering. The Company also provides operations and maintenance (“O&M”) services.
Sterling & Wilson is the world’s largest solar EPC solutions provider in 2018 based on annual installations of utility-scale photovoltaic (“PV”) systems of more than five mega-watt peak according to IHS Markit. It also became the largest solar EPC solutions provider in each of India, Africa and the Middle East according to IHS Markit in 2018
Sterling & Wilson Solar seeks to leverage this business model to procure products and services solutions for the customers at competitive prices. Customers of Sterling & Wilson Solar also benefit from the company relationships with key stakeholders, such as, suppliers, project lenders and consultants, which help to execute projects for customers efficiently and at competitive prices.
Promoters Sterling and Wilson Solar
Khurshed Yazdi Daruvala and Shapoorji Pallonji Co.
Strength of Sterling and Wilson Solar IPO
- Largest global solar EPC solutions provider in a fast-growing solar industry.
- Comprehensive end-to-end EPC solutions provider with a global execution track record.
- As of March 31, 2019, the company had 205 commissioned and contracted solar power projects (6,870.12 MWp) & its order book stood at Rs 3,831.58 Cr.
- Focus on increasing operational and financial efficiency.
Weakness of Sterling and Wilson Solar IPO
- Trade policies have, in recent years, become a major concern for the solar power industry.
- Any policies that create barriers to installing new solar PV systems could negatively impact the solar power industry.
- Intensified price competition also poses another risk to the solar power industry.
- As price competition intensifies, profits could deteriorate and cash reserves could be diminished.
Sterling and Wilson Solar IPO Details
IPO Opens on: 6 August 2019
IPO Close on: 8 August 2019
Price Band: Rs 775 to Rs 780
Bid Lot: 19 Shares & in Multiple of 19 Shares
Maximum Price: Rs 14,820
Fresh Issue: Nil
Offer For Sale: 3,125 Cr
IPO Size: 3,125 Cr
Sterling and Wilson Solar IPO Time Line
Finalisation of Allotment: 14 August 2019
Initiation of Refunds:16 August 2019
Transfer of Shares to Demat Account: 19 August 2019
Listing At: NSE & BSE
Listing Date: 20 August 2019
Financial Performance of (in Million) Sterling and Wilson Solar
|Profit After Tax||6,382||4,505||1,733|
Sterling and Wilson Solar IPO Valuations
Face Value = Rs 1
Earnings Per Share (EPS) = Rs 39.85
PE Ratio = 19.5 (Approx)
Return on Net Worth (RONW) = 62%
Net Asset Value = Rs 63.79/ Share
Sterling and Wilson Solar IPO Subscription Details
|Category||Shares offered||Subscription (no. of times, at 6 pm)|
|Day 1||Day 2||Day 3|
Grey Market Premium of Sterling and Wilson Solar IPO
Grey market premium as on 09-08-2019 is Rs 4-5/Share
Grey market premium as on 08-08-2019 is Rs 5-10/Share
Grey market premium as on 07-08-2019 is Rs 5-10/Share
Grey market premium as on 06-08-2019 is Rs 5-10/Share
Grey market premium as on 05-08-2019 is Rs 50/Share
Grey market premium as on 04-08-2019 is Rs 50/Share
Grey market premium as on 03-08-2019 is Rs 50/Share
Grey market premium as on 02-08-2019 is Rs. 0-0
Grey market premium as on 01-08-2019 is Rs. 0-0