Ahmedabad-based solar engineering, procurement, and construction (EPC) company Grace Renewable Energy has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO) of up to 11.2 million equity shares.

The proposed IPO comprises a fresh issue of up to 8.415 million equity shares and an offer for sale (OFS) of up to 2.785 million equity shares, each with a face value of ₹10 (~$0.11).

Under the OFS, promoter Manish Bagadia proposes to sell up to 1.901 million equity shares, while Karuna Bagadia plans to sell up to 884,000 shares.

The offer price, price band, and total issue size in monetary terms have not yet been finalized.

The company proposes to list its equity shares on BSE and the National Stock Exchange.

Grace Renewable Energy plans to use ₹793.13 million (~$8.36 million) from the net proceeds of the fresh issue to meet incremental working capital requirements.

Of this, the company proposes to use ₹222.05 million (~$2.34 million) in the financial year (FY) 2027 and ₹571.08 million (~$6.02 million) in FY 2028. It will use the remaining proceeds for general corporate purposes. The amount will be determined after the offer price is finalized.

Grace Renewable Energy provides solar EPC services to residential, commercial, and industrial customers. Its services include the design, engineering, procurement, installation, testing, commissioning, and operations and maintenance of rooftop and ground-mounted solar projects.

The company also trades solar modules, inverters, and related equipment. It manufactures and distributes battery energy storage systems (BESS) under its Grace brand.

In FY 2026, the company established a BESS manufacturing facility with an installed capacity of 48 MWh. Its battery storage business also uses third-party contract manufacturing and select imports.

During the three financial years ended March 2026, Grace Renewable Energy executed and commissioned 56.52 MW of solar projects across more than 2,132 sites in 11 states and three countries.

Global solar companies raised $16.9 billion in corporate funding during the first half (1H) of 2026, a 56% year-over-year (YoY) increase from $10.8 billion in the corresponding period of 2025, according to Mercom Capital Group’s 1H and Q2 2026 Solar Funding and M&A Report.