Insulated wires and strips maker Divine Power Energy on Tuesday announced its plan to go public this year and raise funds from capital market to expand capacity as the company aims to increase turnover to Rs 400 crore by 2026.
The Ghaziabad-based company intends to expand its production capacity by raising capital through an initial public offering (IPO), which is likely to take place in mid-February or early March of this year, Divine Power Energy Ltd ((DPEL) said in a statement.
According to the statement, DPEL aims to achieve Rs 400 crore in revenue by March 2026. The company targets to double the revenue to Rs 300 crore by 2025 from Rs 150 crore in FY23.
Rajesh Giri, Managing Director, DPEL, said in the statement, "We aspire to be a market leader in the manufacturing of insulated copper and aluminum wires and strips, setting benchmarks for quality and sustainability." He further stated that raising funds from capital markets will unlock the company's full potential by expanding manufacturing capacity, broadening product portfolio and exploring new geographies.
Embarking on this ambitious journey, we are confident of doubling our revenue by 2025 to Rs 300 crore and surpassing the Rs 400-crore mark by March 2026, he added.
DEPL has appointed Khambatta Securities as the book running lead manager for the issue, a company statement said.
DPEL product line includes paper covered conductors, fiber-glass insulation, double cotton covered and super-enamelled insulation, widely used in transformers, motors and other electrical devices.
DPEL operates a manufacturing unit spread across 40,000 square feet in Ghaziabad and supplies products to both public and private companies, including Tata Power, BSES, Uttarakhand Power Corporation Ltd, Jharkhand Bijli Vitran Nigam Ltd, Paschimanchal Vidyut Vitran Nigam Ltd, South Bihar Power Distribution Company Ltd, Purvanchal Vidyut Vitran Nigam Ltd, and Dakshinanchal Vidyut Vitran Nigam Ltd.
The company gets its raw materials from NALCO, Aditya Birla's Hindalco and Balco.