The initial public offering (IPO) of GK Energy, a Pune-based provider of solar-powered agricultural water pump systems, will open for public subscription today and close on September 23. The price band for the shares has been set at ₹145-₹153 each, with a minimum market lot of 98 shares.
GK Energy has allocated 35% of the IPO for retail investors, 50% for qualified institutional buyers, and 15% for high-net-worth individuals (HNIs). The offering comprises a fresh issue of equity shares amounting to ₹400 crore and an offer-for-sale (OFS) of 4.2 million shares, valued at ₹65 crore, by selling shareholders Gopak Rajaram Kabra and Mehul Ajit Singh.
Ahead of the IPO, GK Energy garnered over ₹139 crore from anchor investors, including HSBC Mutual Fund, Citigroup Global Markets Mauritius, Motilal Oswal Mutual Fund, Bandhan Mutual Fund, Pinebridge Global Funds, and Societe Generale. The company has allocated 9.1 million shares to 13 funds at the upper price of ₹153.
Proceeds from the fresh issue, amounting to ₹322.5 crore, are earmarked primarily for long-term working capital needs, with the remaining funds directed toward general corporate purposes.
GK Energy is recognized as one of the largest providers of engineering, procurement, and commissioning (EPC) services for solar-powered agricultural water pump systems in India. These systems are part of the Central Government’s Pradhan Mantri Kisan Urja Suraksha Evam Utthan Mahabhiyan (PM-KUSUM) scheme, which is evaluated based on the installation of solar-powered pump systems between January 1, 2022, and December 3, 2024, according to a CRISIL report cited in the Draft Red Herring Prospectus (DRHP).
IIFL Capital Services and HDFC Bank serve as the book-running lead managers for the offering. AngelOne has noted that at the upper price band of ₹153, GK Energy appears attractively valued, trading at a post-IPO price-to-earnings ratio of 23.3, lower than its peers in the industry. The company has shown strong financial performance, with significant growth in revenue and profit after tax (PAT) for FY 2024. Its solid order book and positioning within the expanding renewable energy sector further enhance its growth prospects. Given these considerations, AngelOne recommends a “Subscribe” rating for the stock.
This information was published on September 19, 2025.
