Prostarm Info Systems IPO Approved by Sebi

New Delhi, Feb 12 (PTI) Prostarm Info Systems, a power solution products company, on Wednesday said it has received in-principle approval from markets regulator Sebi to launch its initial share sale.

The initial public offering (IPO) is entirely a fresh issue of up to 1.6 crore equity shares of face value Rs 10 each, according to a draft red herring prospectus (DRHP).

The proceeds from the issue will be used for funding working capital requirements, repayment of debt, achieving inorganic growth opportunities, strategic initiatives, and general corporate purposes.

Incorporated in 2008, Navi Mumbai-headquartered Prostarm Info Systems operates three manufacturing facilities in Maharashtra.

It manufactures power solution products under the 'Prostarm' brand, such as UPS systems, inverters, solar hybrid inverters and lithium-ion battery packs. The company has also undertaken rooftop solar photovoltaic power plant projects on an EPC basis.

Prostarm Info Systems has catered to more than 700 clients during FY24, such as Larsen & Toubro, Tata Power and Bajaj Finance.

For FY24, the company's net profit rose 18 per cent to Rs 22.8 crore from Rs 19.3 crore in the previous fiscal. Its revenue from operations increased by 12 per cent to Rs 257.9 crore during the period under review.

Choice Capital Advisors Pvt Ltd is the book-running lead manager and KFin Technologies is the registrar to the issue.

The company's shares will be listed on the BSE and NSE.