GK Energy is launching an Initial Public Offering (IPO) to raise ₹464.26 crores. The IPO has two parts: a fresh issue of 2.61 crore shares worth ₹400 crores and an offer for sale of 0.42 crore shares worth ₹64.26 crores.
The IPO will open for subscription on September 19, 2025, and will close on September 23, 2025. The share allotment will likely be finalized on September 24, 2025. After that, GK Energy’s shares will be listed on the BSE and NSE stock exchanges, with the expected listing date on September 26, 2025.
The price band for the IPO is set between ₹145 and ₹153 per share. Investors can apply for shares in lots of 98. For retail investors, the minimum investment is ₹14,994 (based on the upper price of ₹153 per share). For qualified institutional buyers (QIBs), the lot size is 14 lots (1,372 shares) with a minimum investment of ₹2,09,916. For high-net-worth individuals (HNIs), the lot size is 67 lots (6,566 shares) with a minimum investment of ₹10,04,598.
GK Energy IPO Objectives
The company plans to allocate the net proceeds from the issuance to the following purposes:
- GK Energy plans to use ₹4,224.57 million from the IPO net proceeds in Fiscal 2026 to fund its working capital requirements for business operations.
- Any additional working capital needs beyond this amount will be met through internal funds, cash credit, or working capital borrowings.
- After meeting the primary objectives, any remaining IPO proceeds will be used for general corporate purposes, which will not exceed 25% of the gross proceeds, in accordance with SEBI regulations and subject to management approval.
About GK Energy
GK Energy is India’s largest company that provides engineering, procurement, and commissioning (EPC) services for solar-powered agricultural water pumps under the government’s PM-KUSUM Scheme. This is based on the number of solar pumps they installed from January 2022 to December 2024 (source: CRISIL Report).
The company is approved as a vendor by the Ministry of New and Renewable Energy in the states of Maharashtra, Haryana, Rajasthan, and Uttar Pradesh. These 5 states account for 85% of the solar pumps approved for subsidies under the PM-KUSUM Scheme. They also offer complete services, including survey, design, supply, installation, testing, and maintenance of these solar pump systems.
By September 30, 2024, a total of 1,342,327 solar pumps were approved under the scheme. Empanelled providers completed 4,99,319 installations, out of which GK Energy completed 42,778 (about 8.56%). Additionally, GK Energy installed 16,293 solar pump systems outside of the PM-KUSUM Scheme. The company serves both farmers directly and local government bodies.
Industry Outlook
- The Indian solar pump market has seen strong growth due to the introduction of PM-KUSUM scheme in 2019. Since then, around 0.5 million solar pumps have been installed (as of September 2024). Component B of PM-KUSUM, focused on solar pumps, contributed 96% of this growth, with states like Maharashtra, Haryana, and Rajasthan leading deployment, accounting for 73% of sanctions.
- Countries like Bangladesh and Morocco support solar irrigation by providing grants and low-interest loans. For instance, Bangladesh’s IDCOL offers a 50% grant and 35% loan to entrepreneurs who then sell affordable solar irrigation services to farmers, making it cheaper and more reliable than diesel pumps.
- In Australia and Kenya, government programs fund a significant portion of solar pump installation costs (up to 70% in some cases), encouraging farmers to adopt solar irrigation systems and reduce dependence on traditional energy sources.
How To Apply for the GK Energy IPO Online?
- Login to Your Angel One Account: Open the Angel One app or website and log in with your credentials.
- Locate the IPO Section: Navigate to the 'IPO' section on the platform.
- Select IPO: Find and select the GK Energy IPO from the list of open IPOs.
- Enter the Lot Size: Specify the number of lots you want to bid for.
- Submit Your UPI ID: Enter your UPI ID to link your payment method and submit your application.
- Approve Funds: Once you receive the bid request on your UPI app, approve it by entering your UPI PIN.
How To Check the Allotment Status of GK Energy IPO?
Steps to check IPO allotment status on Angel One’s app:
- Log in to the Angel One app.
- Go to the IPO Section and then to IPO Orders.
- Select the individual IPO that you had applied for and check the allotment status.
- Angel One will notify you of your IPO allotment status via push notification and email.
Contact Details of GK Energy IPO
Registered office: Office No. 802, CTS No. 97-A-1/57/2, Suyog Center, Pune, Maharashtra, 411037
Phone: 020 - 24268111
E-mail: investors@gkenergy.in
GK Energy IPO Reservation
|
Investor Category |
Shares Offered |
|
QIB (Qualified Institutional Buyers) |
Not more than 50% of the Net Offer |
|
Retail Investors |
Not less than 35% of the Net Offer |
|
NII (Non-Institutional Investors) |
Not less than 15% of the Net Offer |
GK Energy IPO Lot Size Details
|
Application |
Lots |
Shares |
Amount |
|
Retail (Min) |
1 |
98 |
₹14,994 |
|
Retail (Max) |
13 |
1,274 |
₹1,94,922 |
|
S-HNI (Min) |
14 |
1,372 |
₹2,09,916 |
|
S-HNI (Max) |
66 |
6,468 |
₹9,89,604 |
|
B-HNI (Min) |
67 |
6,566 |
₹10,04,598 |
GK Energy IPO Promoter Holding
The company's promoters are Mehul Ajit Shah and Gopal Rajaram Kabra.
|
Promoter Holding |
Percentage |
|
Pre-Issue |
93.29% |
|
Post-Issue |
78.64% |
Note: Equity dilution will be determined by subtracting the Shareholding Post Issue from the Shareholding Pre Issue.
Key Performance Indicators for GK Energy Limited
|
KPI |
Value |
|
ROE |
63.71% |
|
ROCE |
55.65% |
|
Debt/Equity |
0.74 |
|
PAT Margin |
12.12% |
|
EBITDA Margin |
18.24% |
GK Energy IPO Prospectus
GK Energy IPO Registrar and Lead Managers
GK Energy IPO Lead Managers
- IIFL Capital Services Ltd.
Registrar for GK Energy IPO
MUFG Intime India Pvt.Ltd.
- Contact Number: +91-22-4918 6270
- Email Address: gkenergy.ipo@linkintime.co.in
- GK Energy IPO Registrar Website -https://linkintime.co.in/Initial_Offer/public-issues.html
Financial Performance of GK Energy Limited
| Particulars | Mar 31, 2023 (₹ Crore) | Mar 31, 2024 (₹ Crore) | Mar 31, 2025 (₹ Crore) |
|---|---|---|---|
| Total Income | 285.45 | 412.31 | 1,099.18 |
| Profit After Tax | 10.08 | 36.09 | 133.21 |
| EBITDA | 17.18 | 53.83 | 199.69 |
| Net Worth | 19.87 | 55.96 | 209.09 |
| Total Borrowing | 42.61 | 62.29 | 217.79 |
Know before investing
Strengths
8Leading EPC provider with ~15% market share in Maharashtra's 505,000 PM-KUSUM pumps.
Increasing order book size. The current size is ₹7.59 billion.
Decentralised warehouses and local workforces across 5 states boost operational efficiency.
Comprehensive installation and after-sales support ensures high customer satisfaction and loyalty.
Profit has grown at a CAGR 381% since 20222, with strong margin improvements.
Experienced leadership with 13-17 years in the solar sector drives strategic growth.
Successfully leading solar pump projects in Maharashtra, expanding rapidly to 4 more states.
Plan to manufacture own solar panels, improving margins and ensuring steady supply.
Risks
899.56% revenue from EPC; any decline impacts business performance significantly.
78.40% revenue from PM-KUSUM; scheme changes could severely impact operations.
Loss of top customer contributing 21.15% revenue may hurt cash flows.
Five-state presence; downturn in Maharashtra especially could reduce system demand drastically.
Heavily reliant on PM-KUSUM; discontinuation risks future business and revenues.
Limited supplier base; disruptions may materially affect their operations and delivery timelines.
Direct-to-beneficiary sales form ~89% in FY23; any shift reduces earnings.
High concentration in solar pump EPC limits diversification and increases dependency risks.
GK Energy Limited Peer Comparison
| Metric | GK Energy | Shakti Pumps (India) Limited | P/E (x) | RoNW (%) |
|---|---|---|---|---|
| Revenue from Operations (₹ million) | 4,110.89 | 13,743.02 | - | - |
| EPS (₹) | 2.14 | 11.79 | - | - |
| NAV (₹ per Equity Share) | 2,143.31 | 62.86 | - | - |
| RoNW (%) | 64.49 | 18.75 | - | - |
