Bajaj Group plans to raise ₹3,000 cr from listing of power business

MUMBAI: Bajaj Group plans to raise about ₹3,000 crore through an initial public offering (IPO) of its power generation business, said two people aware of the plans.

The company is expected to soon file a draft prospectus with capital markets regulator Securities and Exchange Board of India (Sebi), for the share sale, the two people cited above told Mint.

“They have been working on the IPO of the power business over the last few months,” said one of the two people cited above, requesting anonymity as he is not authorized to speak with the media. Bajaj has hired investment banks, UBS, Edelweiss and IIFL as advisors for the proposed public offering, the person added.

The power business has stable operating assets with more than ₹2,000 crore of earnings, before interest, taxes, depreciation and amortization, the person said.

The Bajaj Group, led by Kushagra Bajaj, comprises flagship company Bajaj Hindusthan Sugar Ltd, one of the largest sugar producers in the country and Bajaj Corp. Ltd, a packaged consumer goods company with focus on haircare and skincare products. The group also has presence in infrastructure, real estate and coal mining.

Emails sent on Friday to Bajaj Group, Edelweiss and IIFL did not elicit any response. UBS declined to comment to queries from Mint.