PTC India Financial (PFS) IPO has got 3 out of 5 by CRISIL (rating agency) and this rating/grading is Average fundamentals for a NBFC company IPO. The grade 3 indicates that the fundamentals of the IPO are Average compared to the other listed securities in India. The company is entering into primary market with an Initial Public Offer (IPO) of 156,700,000 Equity Shares of Rs 10 each. The premium of the issue will be decided through a 100% Book Building Process. The company will raise around Rs. 407.42 – Rs 438.76 crore through this IPO. PTC India Financial Services (PFS) is a subsidiary of PTC India. The company was established in 2008-09 for providing equity support to power projects in the country, the company also invests in renewable energy projects including wind farms and biomass projects.
The IPO grade assigned to PFS takes into account the huge financing opportunities arising due to large-scale investments required in the power sector following an increase in power demand. CRISIL expects more than Rs 9.3 trillion will be invested in the power sector during FY10-15, with generation (both utilities and captives) comprising Rs 5.8 trillion (63% of the total investment).
At present, 77 per cent stake in the company is held by the promoters and New York Life International India Fund holds the rest 23 per cent. Post IPO, the promoters will hold 51 per cent and New York Life will hold 20 per cent stake in the company.
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