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Oriana Power IPO aggregating to ₹59.66 crore, comprises entirely of a fresh issue of up to 38.94 lakh equity shares. The stock will get listed on SME segment of the NSE. Oriana Power is a company that specializes in providing solar energy solutions to industrial and commercial customers.

About Oriana Power IPO:

• Founded by entrepreneurs Anirudh Saraswat, Rupal Gupta, and Parveen Kumar Jangra, Oriana Power commenced operations in 2017.
• Oriana Power is a company that specializes in providing solar energy solutions to industrial and commercial customers. The company offers low-carbon energy solutions by installing on-site solar projects such as rooftops, ground-mounted systems, and off-site solar farms, i.e., Open access. Its business operations are primarily divided into two segments: Capital Expenditure (CAPEX) and Renewable Energy Service Company (RESCO).
• Under the CAPEX model, it offesr Engineering, Procurement, construction, and operation of solar projects. In this model, customer invest in the Capital Expenditure at their own and Oriana does Engineering, Procurement, Construction, and Operation on behalf of the client. This model may be executed in various manners such as rooftop and ground-mounted systems, as well as off-site solar farms.
• Under CAPEX Model it has delivered projects with a capacity exceeding 100 MWp across various locations across India till date since commencement of its business activity in this area of service i.e. June 2017.
• Under the RESCO model, we operate through its 18 (Eighteen subsidiaries). Thesubsidiaries provide solar energy solutions on a BOOT (Build, own, operate, transfer) model basis, allowing customers to enjoy the benefits of solar energy without the upfront investment. All the Investment, Commissioning and maintenance are done at our end and in lieu of that our company sells power to the end consumer through a Power Purchase agreement generally agreed for 25 years. This Business gives it Annuity income post recovery of Initial investment.
• Currently, it has a diverse portfolio of operational and under-construction projects with a capacity exceeding 35 MWp across various locations in India, including Rajasthan, Delhi, Haryana, Goa, Punjab, Gujarat, Karnataka, Andhra Pradesh, Odisha, and more.
• As on date of this RHP, it has 56 full-time employees

Financials: Oriana Power IPO

Oriana Power IPO: Anchor Investors

Oriana Power IPO: Salient Points

• Promoters currently hold 83.40% of the company. Post issue, the promoters’ stake would stand reduced to 61.41% in the company.
• The Indian renewable energy sector is the fourth most attractive renewable energy market in the world.
• As per management it is among India’s fastest-growing solar energy solution providers,
• Oriana Power will utilize issue proceeds from the IPO towards meeting its working capital requirements ( ₹23 crore), investment in subsidiary companies ( ₹20 crore), capital expenditure for expansion purposes ( ₹2 crore) and general corporate expenses.
• Oriana Power had successfully closed its pre-IPO round, with the participation of several reputed stock market veterans. The SME-bound IPO received the interest of marquee investors such as Chennai-based Anil Kumar Goel, JSW Energy’s Prashant Jain, Meru’s founder Neeraj Gupta, Jaipur-based Manoj Agarwal, and MSMEx’s Amit Kumar.
• The company has listed some projects which are in hand or are in the pipeline of its execution, or where company has been duly empanelled:
  •  Coal India Limited
  •  Solar Energy Corporation of India Limited
  •  Braithwaite & Co. Limited (Ministry of Railways)
  •  NnB Paper Products private Limited
  •  Welspun India
  •  Mrs. Bector Food Specialties Limited
  •  Elgris Solar Power Limited
  •  Abrel Renewables EPC Limited
• Some of its clients for Capex Business includes:
  •  Hindustan Petroleum Corporation Limited
  • Hero Motocorp Limited
  •  Indraprastha Power Generation Limited.
  •  JK Laxmi Cement Limited
  •  Tata Memorial Hospital
  •  Udaipur Cement Works Limited
  •  Indian Synthetic Rubber Private Limited
  •  Ramjas Public School
  •  Mrs. Bectors Food Specialities Limited
  •  Panchwati Prayogshala Private Limited
  •  Renew Mega Urja Pvt. Ltd. (c/o Saint Gobain Glass India Limited)
  •  Saurya Ener Tech
  •  Skill Council for Green Jobs (Safdarjung Hospital, Delhi)
  •  Elgris Solar Power System Private Limited
  •  NGK sparks Plugs (India) Private Limited
  •  Prozeal Infra Engineering Private Limited
  •  Amplus Energy Solutions Private Limited
  •  HFM Solar Power Private Limited
  •  Shah Infra Towers Private Limited
  •  Premier Solar Solutions Ltd. (located at Nbi, Kenya, Off Mombasa Road)
  •  Adani Mundra Solar PV Limited
  •  Shah Eye Care Private Limited
  •  Shah Infra Towers Private Limited
• Our clients for RESCO MODEL include:
  •  Hindustan Copper Limited
  •  National High Speed Rail Corporation limited
  •  Modern Delhi Public school, Faridabad
  •  Sarvodya Kanya Vidyalaya (at 21 locations in Delhi )
  •  Umang Dairies Limited
  •  ESI Hospital, Chandigarh
  •  Employee Provident Fund Organization, Faridabad
  •  Delhi Development Authority
  •  Sledge Hammer Oil Tools Private Limited
  •  Mantora Oil Products Private Limited
  •  Aryabhatta College, Anand Niketan, New Delhi
  •  Symbiosis Foundation, Pune
  •  RACL Geartech Limited
  •  Mahindra CIE Automotive Limited
  •  Central Detective Training Centre, Jaipur
  •  Terrestrial Foods Private Limited
  •  Sardar Patel Medical college
  •  Sambhar Salts Limited
  •  Sona BLW Precision Forgings Limited
  •  Maral overseas Limited

• Its PE ratio is 20-21x (fy23 earnings).
• I intend to apply in Oriana Power IPO subject to availability of funds. It may see record subscription.
• GMP as reported on social media has been around Rs. 100.
• Corporate Capitalventure is the Lead Manager. Past issues handled by them include Crayons Advertising Limited, Droneacharya Aerial Innovations Limited, Annapurna Swadisht Limited, Rajnandini Metal Limited, Swastik Pipe Limited, Uma Exports Limited, Phantom Digital Effects Limited, Nupur Recyclers etc.
• Share India Securities is the market maker. Past issues handled by them include Drone Destination, Quicktouch Technologies, Maiden Forgings, De Neers Tools, Krishca Strapping Solutions, A G Universal etc.
• SME IPO are quite illiquid and volatile and exit options sometimes is delayed.

Standard disclaimer: I am not a SEBI registered analyst and above analysis is for educational purpose only. Iam a postgraduate in engineering & Management . Also Certified in some exams like NISM-Series-V-A: Mutual Fund Distributors Certification, NISM-Series-X-A: Investment Adviser (Level 1) Certification and NISM-Series-X-B: Investment Adviser (Level 2) Examination. This post is my view on the subject matter and is only academic and exploratory in nature. It is not meant to influence investment decisions of investors. I may have bias/vested interest in covered Stock/Mutual Funds/NCD etc. due to my own investment or leaning. Further my understanding of the areas on which I write may be imperfect or incomplete and data could be wrong due to limited time and resources at my disposal. Do check the data from company’s RHP and exchanges before making any decision. Please do your own due diligence as stock market/MF investments have high degree of inherent risk.