Bengaluru-based TruAlt Bioenergy files draft papers for IPO with SEBI

(Delhi)Bengaluru-based TruAlt Bioenergy Ltd, a leading name in India’s biofuel industry, has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI), marking the company's entry into the capital markets with an initial public offering (IPO). The move underscores TruAlt Bioenergy’s commitment to expanding its footprint in the biofuel sector and tapping into the growing investor interest in sustainable energy solutions.

The proposed IPO will feature a dual structure, comprising a fresh issuance of ₹750 crore worth of shares and an offer for sale (OFS) of up to 36 lakh equity shares by the promoter group. Each share will have a face value of ₹10.

The offer for sale includes 18 lakh equity shares each from two prominent shareholders: Dhraksayani Sangamesh Nirani and Sangamesh Rudrappa Nirani. This significant portion of the OFS aims to provide liquidity while supporting the company's strategic growth objectives.

TruAlt Bioenergy is well-regarded for its role as a pioneer in India’s biofuel sector, particularly noted for its early adoption of the Compressed Biogas (CBG) program under the Sustainable Alternative Towards Affordable Transportation (SATAT) initiative. The SATAT initiative, launched by the Indian government, aims to promote the use of CBG as a viable alternative to traditional fossil fuels, aligning with broader goals of reducing greenhouse gas emissions and fostering sustainable transportation.

The IPO is expected to bolster TruAlt Bioenergy’s capital base, enabling the company to enhance its production capabilities, expand its market presence, and further its commitment to sustainable energy solutions. By tapping into public markets, TruAlt Bioenergy seeks to leverage the increasing investor interest in environmentally friendly technologies and alternative energy sources.

The filing with SEBI is an important step in the IPO process, marking the beginning of the regulatory review phase. As TruAlt Bioenergy prepares for its public debut, it joins a growing list of companies in the renewable energy sector aiming to capitalize on the momentum towards greener energy solutions.

As the market awaits further details on the pricing and timing of the IPO, industry watchers and investors will be keenly evaluating TruAlt Bioenergy’s prospects and its potential to drive innovation and growth in the biofuel industry.