Inox Wind Receives ₹900 Crore Infusion to Achieve Net Debt-Free Status

On July 4, 2024, Inox Wind Limited (IWL) announced in a stock exchange filing that it has successfully completed an infusion of approximately ₹900 crore by its promoter, Inox Wind Energy Limited (IWEL). This significant capital infusion was facilitated by funds raised by IWEL on May 28, 2024, through the sale of equity shares of IWL via block deals on the stock exchanges. The block deals witnessed the participation of several marquee investors, indicating strong confidence in the company’s future prospects.

The primary objective of this fund infusion is to completely pare down IWL’s external term debt, enabling the company to achieve a net debt-free status, excluding promoter debt. This strategic move is set to significantly strengthen IWL’s balance sheet, positioning the company for accelerated growth and enhanced financial stability.

Mr. Kailash Tarachandani, CEO of Inox Wind, expressed his enthusiasm about this development, stating, “It has been a remarkable journey so far. This fund infusion will help us become a net debt-free company, strengthening our balance sheet and helping accelerate our growth. We expect substantial savings in interest expenses going ahead, aiding our profitability further. With all the building blocks in place, be it our execution capabilities, state-of-the-art technological offerings, financial strength, robust order book, and a large order pipeline, we are geared up to embark on a substantial growth journey ahead.”

The infusion of ₹900 crore will not only reduce financial liabilities but also generate significant savings in interest expenses, thereby boosting the company’s profitability. With a strengthened balance sheet, IWL is now well-positioned to leverage its execution capabilities and technological advancements to capitalise on growth opportunities in the wind energy sector. The robust order book and extensive order pipeline further underscore the company’s readiness to scale new heights in its growth journey.

This milestone marks a pivotal moment for Inox Wind as it aligns its financial strategies with its long-term growth objectives, ensuring sustainable value creation for its stakeholders. As the company continues to build on its strengths, Inox Wind Limited’s future looks promising.

About Inox Wind Ltd

Inox Wind Limited stands as India’s premier provider of wind energy solutions, catering to Independent Power Producers (IPPs), Utilities, Public Sector Units (PSUs), and Corporate investors. As part of the INOXGFL Group, a conglomerate with a legacy spanning over nine decades and valued at approximately US$ 8 billion, IWL focuses on two primary business sectors: chemicals and renewable energy.

On July 4, 2024, the share price of Inox Wind Ltd opened at ₹148.00, touching the day’s high at ₹157.18, as of 9:45 AM on the NSE.

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