A prominent name in India’s renewable energy space, Continuum Green Energy, has received the green signal from the Securities and Exchange Board of India (SEBI) to launch its IPO. The IPO is a fresh issue worth INR 3,650 crore. Continuum Green received IPO approval on 15 April 2025.
IPO Structure and Objectives
The IPO structure is straightforward but significant:
- Fresh Issue: INR 1,250 crore worth of new shares.
- Offer for Sale: INR 2,400 crore from existing shareholders.
The funds will be used for expansion and operational initiatives to scale up in a competitive market.
But it’s not all good news for the company. For the year ending March 2024, Continuum Green reported a consolidated loss of INR 598 crore—up from INR 367 crore in FY 2023. But there’s a silver lining: revenue grew 33% to INR 1,295 crore in the same period. Thanks to government support and increased investment. NTPC Green Energy and Waaree Energies are already reaping the benefits and the sector is ready for more growth.
Proceeds from the issue will be used to repay or prepay outstanding loans and interest accrued by the company’s subsidiaries. INR 1,100 crore has been allocated for this purpose.
Key Managers and Listing Plans
The public issue is managed by a consortium of book-running lead managers: Kotak Mahindra Capital, Ambit, Citigroup Global Markets India and JM Financial. Post IPO, Continuum Green Energy’s equity shares will be listed on BSE and NSE.
Company Background and Financials
Founded in 2007, Continuum Green Energy is an independent power producer (IPP) focused on renewable energy. The company identifies, develops, constructs and operates utility scale renewable energy projects across India. Its portfolio includes large scale wind power projects and hybrid wind-solar co-located installations.
As of 30th June 2024, the company has operational capacity of 2.22 GWp and under construction capacity of 1.31 GWp, taking the total portfolio to 3.52 GWp. The energy mix is evenly split between wind and solar. The company has built a strong client base having signed power purchase agreements (PPAs) with over 170 commercial and industrial (C&I) consumers and various state and central distribution utilities.
Financially the company has shown good growth. Revenue from operations grew 33.45% in FY24 to INR 1294 crore from INR 970 crore in FY23.
Strategic Investments and Backing
Continuum Green Energy has also attracted significant private equity interest. In 2024, it got an equity investment from JC Infinity (B), an affiliate of Just Climate LLP, a climate focused investment firm backed by Generation Investment Management, co-founded by former U.S. Vice President Al Gore. The company is also backed by Morgan Stanley Infrastructure Partners, who invested USD 212 million (~INR 1.80 lakh crore) in 2012.
Conclusion
The SEBI approval is a big milestone for Continuum Green Energy as it looks to tap into India’s growing demand for sustainable and clean energy. With a strong project pipeline, experienced management and robust investor backing, the IPO is expected to see a lot of interest from institutional and retail investors.
In 2024, 3 power and renewable energy companies went for IPO, each with a different story on listing day. ACME Solar Holding had a rocky start and experienced a negative listing return of 12.40%.
NTPC Green Energy, on the other hand, fared better. Its listing return of 12.64% wasn’t groundbreaking but signalled a steady start. What’s interesting, though, is how it picked up pace afterwards, gaining traction in the market as confidence in its prospects grew. Then there’s Waaree Energies, which stole the spotlight. With a hefty listing return of 55.62%, it left no doubt about strong investor interest. For more information related to IPO GMP, SEBI IPO Approval, and Live Subscription stay tuned to IPO Central.