Stories
SECI IPO Delayed to FY28, Cabinet Approval Expected This Fiscal
- •The initial public offering (IPO) of Solar Energy Corporation of India (SECI) is now anticipated to launch in FY28, a delay from the previously planned FY27.
- •Cabinet approval for the IPO is expected this fiscal year, despite the extended timeline for the actual share sale and listing.
- •The delay is attributed to the ongoing financial valuation of SECI, a process being conducted by the Department of Public Enterprises (DPE) with SBI Capital and other agencies.
- •SECI, a central public sector enterprise under MNRE, plays a crucial role in renewable energy procurement, tendering and awarding significant capacities annually.
- •Granted Navratna status in August 2024, SECI reported a standalone revenue of Rs 15,185.10 crore and a profit after tax of Rs 501.92 crore in FY25.
Key Questions Answered
The proposed initial public offering (IPO) of the Solar Energy Corporation of India (SECI) is likely to slip to fiscal year 2028 (FY28). Although cabinet approval is expected during the current fiscal year, the process has taken longer than anticipated because a financial valuation of the state-run renewable energy company is currently underway.
The Department of Public Enterprises (DPE) is working alongside SBI Capital and a few other agencies to conduct the financial valuation exercise for the SECI IPO. Once this valuation is completed, the proposal will advance through the remaining stages of government approval before being presented to the cabinet.
SECI is a central public enterprise under the Ministry of New and Renewable Energy (MNRE) that conducts competitive bidding for solar, wind, hybrid, and round-the-clock energy projects. It operates as an intermediary procurer, signing long-term power purchase agreements with developers and power sale agreements with DISCOMs and other buying entities.
