GP Eco Solutions India Limited IPO

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The company, originally incorporated on July 30, 2010, as GP Eco Solutions India Private Limited, transitioned to a public limited company on November 17, 2023. Now known as GP Eco Solutions India Limited, they have the Corporate Identification Number U31908UP2010PLC041528.

GP Eco Solutions India Limited specializes in the distribution of solar inverters and solar panels, serving as an authorized distributor for notable brands such as Sungrow India Pvt Ltd (Sungrow), Saatvik Green Energy Private Limited (Saatvik), and LONGi Solar Technology Co. Ltd (LONGi) in North India. Additionally, they provide comprehensive engineering, procurement, and construction (EPC) services to both commercial and residential customers, though the distribution of solar products remains their core business.

Invergy Brand

Under their proprietary brand, Invergy, they sell hybrid solar inverters and lithium ferro phosphate (LFP) batteries. Invergy’s products are produced through Original Equipment Manufacturer (OEM) partnerships, ensuring adherence to their stringent quality and reliability protocols. This includes:

i. Contract Manufacturing: Invergy outsources product manufacturing to trusted partners, ensuring they meet their rigorous quality standards through established guidelines and procedures.
ii. Quality and Reliable Protocol: They maintain a structured set of rules, processes, and standards to ensure product quality and reliability.
iii. Supply Chain Management: Invergy actively oversees all stages of the supply chain, from raw material acquisition to product delivery, ensuring smooth and efficient transitions across all processes.
iv. Easy and Comfortable Transitions: By managing their supply chain, they ensure efficient logistics, inventory management, and coordination, minimizing disruptions and delays.

Conclusion

GP Eco Solutions India Limited is dedicated to providing high-quality solar energy solutions. Their robust partnerships with leading brands, combined with their proprietary Invergy products and commitment to quality, position them as a reliable player in the solar energy sector in North India.

Objects of the GP Eco Solutions India Limited IPO:

The company intends to utilize the Net Fresh Issue Proceeds for the following Objects: i. To Meet Working Capital requirements of the Company; ii. Investment in the subsidiary, Invergy India Private Limited ("IIPL") in relation to Purchase of Plant & Machineries and other Miscellaneous Assets and also towards Construction / Civil Works for its facility; and iii. General Corporate Expenses.
DRHP of GP Eco Solutions India Limited IPO
RHP of GP Eco Solutions India Limited IPO

GP Eco Solutions India Limited IPO Details:

Open Date: Jun 14 2024
Close Date: Jun 19 2024
Total Shares: 3,276,000
Face Value: ₹ 10 Per Equity Share
Issue Size: 30.79 Cr.
Lot Size: 1200 Shares
Issue Price: ₹ 90 - 94 Per Equity Share
Listing At: NSE Emerge
Listing Date: Jun 24 2024

Promoters And Management:

Mr. Deepak Pandey, aged 39, serves as the Promoter and Managing Director of the company. He is the founder of GP Eco Solution Limited and possesses over 13+ years of experience in the solar industry. Holding a degree in Computer Science from Uttar Pradesh Technical University in the year 2005, he is overall in charge of the business. Mr. Pandey guides the company in preparing future strategies and is actively involved in cracking business deals, bringing a wealth of knowledge and expertise to the organization, he is also the founder of Invergy India Private Limited, a subsidiary company of GP Eco, which is engaged in the distribution of Hybrid solar inverters. Mrs. Anju Pandey, aged 65, is a Promoter and Director of the company. She has rich experience of 13 years in the renewable energy sector. She holds a degree of Bachelor of Arts (Psychology & Political Science) from Kanpur University. She contributes towards the greener and healthier environment through her ideas with distinguished and accomplished professional, well respected in the business world for her exemplary leadership, visionary thinking, and unwavering commitment to achieving excellence. With a rich history of experience, she has played a pivotal role in shaping the success of her organization, inspiring others to reach new heights, and contributing to the betterment of society. She also has a strong strategic vision for advancing renewable and sustainable energy. Mr. Astik Mani Tripathi, aged 35, is a Promoter and Director of the company. He is a Fellow Member of the Institute of Company Secretaries of India (ICSI) and also holds a degree in Law. With over 15 years of experience as a corporate consultant and financial advisor, he plays a crucial role in guiding the company's future strategy. Additionally, Mr. Astik Mani Tripathi is a cofounder and Director of the subsidiary company, Invergy India Private Limited, which is involved in the distribution of Hybrid solar inverters. His expertise extends to assisting the company in securing and negotiating business deals.

Financials of GP Eco Solutions India Limited IPO:

Particulars ( In Lakhs )
2021
2022
2023
9M-FY24
Revenue from Operations 4,647 8,345 10,121 7,840
Other Income 6 8 326 19
Total Revenue 4,653 8,353 10,448 7,859
Cost Raw Material Consumed 3,961 7,212 10,126 6,581
Change in Inventories -85 -196 -841 51
Employees Benefit Expenses 169 133 71 115
Other Expenses 428 740 422 309
EBITDA 181 464 669 803
OPM (%) 3.88% 5.56% 6.40% 10.22%
Depreciation & Amortisation 15 27 38 31
EBIT 166 438 631 772
Finance Cost 31 63 125 133
PBT 135 375 506 639
Tax 38 97 136 166
PAT 97 277 370 473
NPM (%) 2.08% 3.32% 3.54% 6.02%
No.of Shares 117.1 117.1 117.1 117.1
EPS 0.82 2.36 3.15 4.04

Comparison With Peers:

Name of the Company Revenue (In Crore) PAT (In Crore) EPS ( in Rs) P/E CMP Mcap (In Crore)
GP Eco Solutions India Limited 101 4 3.15 29.8 94 110
Sungarner Energies Limited 17 1 4.41 102.0 457 106
* All the data is as per FY23.

Recommendation on GP Eco Solutions India Limited IPO:

Review and Recommendation of GP Eco Solutions India by team IZ is 6/10. 1. GP Eco Solutions India Limited operates primarily in the distribution of solar inverters and solar panels. The company is an authorized distributor for leading brands such as Sungrow India Pvt Ltd for solar inverters, and Saatvik Green Energy Private Limited and LONGi Solar Technology Co. Ltd for solar panels in North India. In addition to distribution, the company provides integrated solar energy solutions, including engineering, procurement, and construction (EPC) services for commercial and residential customers, though this segment contributes less to the overall business compared to distribution. 2. Invergy Brand Under its own brand, Invergy, the company sells hybrid solar inverters and lithium ferro phosphate (LFP) batteries. Invergy products are manufactured through original equipment manufacturing (OEM) contracts, adhering to stringent quality and reliability protocols set by Invergy. 3. Business Verticals i. Distributor of Solar Inverters and Solar Panels:- a) On-grid Solar Inverters               b) Hybrid Solar Inverters & Batteries              c) Solar Panels ii. Solar EPC (Engineering, Procurement, and Construction) iii. Operation and Maintenance of Solar Plants 4. Marketing Strategy The company employs a comprehensive marketing strategy, leveraging both online and offline channels to reach its target audience and enhance brand visibility. i. Online Marketing GP Eco Solutions actively utilizes online platforms, including WhatsApp, LinkedIn, Instagram, Facebook, and Twitter, to connect with its audience in real-time, share valuable content, and enhance brand engagement. ii. Offline Marketing Offline marketing initiatives focus on participating in technical seminars and exhibitions. These events provide opportunities to forge industry partnerships, showcase innovations, and establish a tangible connection with the audience. Collaborations with esteemed brands like Sungrow, Invergy, Saatvik, and LONGi enhance the credibility of the company's presence at these events. 5. The Revenue has Increased from Rs.46 Crores in FY21 to Rs.101 Crores in FY23. 6. The EBITDA has Increased from 1.8 Crore in FY21 to 6.6 Crores in FY23. 7. The PAT has Increased from 97 Lakhs in FY21 to 3.7 Crores in FY23. 8. As per FY23, CFO/EBITDA is 0.78, As per FY24, EPS is 5.38, 9. Market Capitalization is 110 Crores & P/E is 17.44x based on FY24.

Lead Manager of GP Eco Solutions India Limited IPO:

  1. Corporate Capital Ventures Private Limited

Registrar of GP Eco Solutions India Limited IPO:

  1. Bigshare Services Private Limited

Company Address:

GP Eco Solutions India Limited B-39, Sector-59, Gautam Buddha Nagar, Noida - 201301 Phone: +91 - 8960095217 Email: cs@gpecosolutions.com Website: https://www.gpecosolutions.com/

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