The offering consists of a total of 3,409,091 equity shares. Of these, 2,242,424 are to be sold by Azure Power, while 1,166,667 will come from certain selling shareholders. The company has also granted underwriters a 30-day option to purchase up to 511,364 additional equity shares at the IPO price, minus underwriting discounts and commissions.
Azure Power will also raise proceeds of US$75 million from the sale of equity shares from a concurrent private placement transaction. Gross proceeds (before underwriting discounts, commissions and expenses) from the IPO to Azure Power and the selling shareholders are expected to be around US$136 million.
The proceeds will primarily fund the companys purchase of equity shares in its subsidiary, Azure Power India Private Limited (AZI), as well as future operating expenses. AZI is then expected to use the net proceeds for growth capital expenses, new project development and other corporate purposes.
Barclays and Credit Suisse as book running managers, and Roth Capital Partners as co managers are jointly managing the offering.