Corporate Feature     

Published: Feb 15, 2023
Updated: Feb 15, 2023

Indowind Energy

Expected to grow at 25% a year

BSE & NSE-listed Indowind Energy Ltd, engaged in developing wind farms, managing wind assets and generating green power for sale to utilities and corporations, has announced a rights issue of 3,58,96,594 equity shares for cash at a price of Rs 12 per share, aggregating Rs 43,07,59,128, in the ratio of 2 shares for every 5 shares held as on the record date of January 13, 2023. The rights issue opened on January 27 and was to close on February 10. The proceeds of the rights issue will be utilised to reduce debt obligations, which will help leverage expansion in capacities in the future.

The company expects to achieve a growth rate of at least 25% every year as it is planning expansion in capacity and eyeing other emerging opportunities in the renewable space.

Indowind has considerable expertise in building wind power projects -- from concept to commissioning. It also provides wind asset management solutions for installed assets, including operations, billing and collection of revenue from customers.

Growth winds
BSE: 532894
NSE: INDOWIND
CMP: Rs 13.4
ANALYST’S PROJECTIONS Short term: Rs 22
Positional: Rs 48

BRIGHT RESULTS

Meanwhile, the company announced excellent results with revenue from operations of Rs 7.10 crore during the quarter ended December 31, 2022, up from Rs 4.21 crore for the corresponding previous quarter. On a consolidated basis, revenue was up by 68.65% and quarterly EBITDA increased by 303%.

According to Mr. Bala K.V. Chairman Indowind, Total revenue during 9 months of the current financial year was Rs 30.10 crore as against Rs 19.40 crore during the corresponding 9 months of the previous fiscal. For the whole previous fiscal ended March 31, 2022, it was Rs 26.99 crore on a consolidated basis.

Indowind is an IPP in the renewable energy field, generating green power through dedicated wind farms. It also offers allied services in the wind energy sector with the mission to be a sustainable and profitable player in the sector.

Indowind has proven capabilities and experience in setting up wind farms, operating and maintaining them with optimum machine availability, and selling green power to corporates and electricity utilities over the last 25 years. The company has considerable domain and technology knowledge to provide end-to-end solutions & services.

The present capacity is 49.645 MW, with an expansion of about 16.2 MW in the pipeline.

Promising investment

Renewable energy stocks are generally trading at 4-5 times of book value. Indowind is available at 0.6 times its book value. Indowind is an almost debt-free company