German Green Steel and Power Limited
Red Herring Prospectus dated September 21, 2026
Summary
German Green Steel and Power Limited is proposing to raise ₹290.00 crore through a fresh issue of shares, alongside an offer for sale of 10,00,000 shares by existing shareholders. The price is ₹139 per share.
About 78% of the fresh issue proceeds go to funding the capital expenditure requirements of the company towards expansion of its manufacturing facility at Samakhiyali, Kutch, Gujarat and hybrid wind and solar power plant, and about 3% to prepayment or re-payment, in full or in part, of certain outstanding borrowings availed by the company. The amount for general corporate purposes is not yet stated.
The review found 3 points to read closely and 17 worth checking.
Read closely
- Tax demands
- Finance and compliance heads are new or have turned over
- Lead manager's past issues trade below issue price
How the capital was built
- The last priced issue of shares was on 26 Sept 2025: 18,38,000 shares to non-promoter investors at ₹270 each (37 allottees, none stated as linked to the promoters), 3.4% of the pre-issue capital, at 1.6 times the price of the previous issue 6 months earlier; it came 12 months before this prospectus.
- The largest price step in the two years before the prospectus was 8.9 times, on 21 Mar 2025 (promoters and others).
- From the first priced issue (9 Jul 2008, ₹0.12 in today's shares) to the last, the price per share rose 2268 times over 17 years.
- The offer price of ₹139 is 0.51 times the last issue price (₹270, 26 Sept 2025).
Conclusion
Of the 3 points to read closely, 2 concern the promoters, management and their dealings (tax demands; finance and compliance heads are new or have turned over) and 1 concerns the business, the valuation or the quality of disclosure. These could not be scored automatically and need reading: group entities in the same business; director resignations; group companies with no revenue. These wait for the price and the final share count: issue price is a large multiple of promoters' cost. The pages to read are 367, 369, 483 and 501–502.