Issue of INR 16 Crores of Green Bonds
Maturity Period: 15 Years
Annual Interest Rate: 7% per annum
This prospectus is prepared in connection with the issuance of Green Bonds by Urjadata Solar Renewable Energy Private Limited. The proceeds from this bond issuance will be used to finance the 4MW solar power project in Sagar, Madhya Pradesh under the PM KUSUM scheme. This document provides essential information for prospective investors, including detailed terms and conditions, and serves as the official offering document filed with the Securities and Exchange Board of India (SEBI).
1. Company Overview
Urjadata Solar Renewable Energy Private Limited is an emerging leader in the renewable energy sector, specializing in solar power development and sustainability initiatives. Founded in 2022, the company has successfully completed several solar projects under the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM KUSUM) scheme. Urjadata Solar is dedicated to increasing renewable energy capacity in rural India, particularly through the implementation of Component A and Component C (FLS) projects in Madhya Pradesh. The company is committed to driving India’s green energy transition by focusing on sustainable growth and environmental stewardship.
Company Highlights:
– Established: 2022
– Headquarters: Madhya Pradesh, India
– Core Focus: Solar energy projects under the PM KUSUM scheme
– Current Capacity: 20 MW of solar power deployed across multiple rural projects
2. Offer Details
Total Issue Size: INR 16 Crores
Bond Denomination: INR 10,000 per bond
Interest Rate: 7% per annum
Maturity Period: 15 years from the date of issuance
Interest Payment Frequency: Annually
Use of Proceeds: The funds raised through this Green Bond issuance will be used exclusively to finance the 4MW solar power project located in Sagar, Madhya Pradesh under the PM KUSUM scheme. This project is designed to generate clean, renewable energy, reduce carbon emissions, and support rural electrification.
3. Terms and Conditions
3.1 Interest Payment
The bonds will carry a fixed interest rate of 7% per annum, payable annually on the anniversary of the bond issuance date. Interest payments will be credited directly to the bondholder’s registered bank account.
– First Interest Payment Date: One year from the date of bond issuance.
– Subsequent Payments: Annually thereafter on the same date.
3.2 Maturity and Redemption
The bonds will have a maturity period of 15 years from the date of issuance. Upon maturity, bondholders will receive the principal amount (INR 10,000 per bond) along with any remaining accrued interest.
– Redemption Date: 15 years from the date of bond issuance.
– Early Redemption: The company reserves the right to call for early redemption of the bonds after a minimum holding period of 10 years, subject to a 30-day notice period. Bondholders will be notified of any early redemption, and they will have the option to redeem their bonds at par value.
3.3 Transferability
The bonds are transferable and can be traded in the secondary market, subject to applicable regulations and guideline. Transfers must be recorded through an authorized depository participant, and any transfer will be subject to a transfer fee as stipulated by the depository.
3.4 Taxation
Interest income from the Green Bonds is subject to taxation in accordance with Indian tax laws. Bondholders are advised to consult their tax advisors regarding the tax implications of their investments. The company will deduct tax at source (TDS) as per prevailing tax laws, if applicable.
3.5 Events of Default
The following events shall constitute an event of default:
– Failure to pay interest or principal on the due date.
– Breach of any terms or conditions of the bonds or this prospectus.
– Insolvency or bankruptcy of Urjadata Solar Renewable Energy Private Limited.
In the event of default, bondholders may declare the bonds immediately due and payable, and demand the payment of all outstanding amounts, including accrued interest.
3.6 Governing Law
The Green Bonds and this prospectus are governed by the laws of India. Any disputes arising from or in connection with the bonds shall be subject to the jurisdiction of the courts of Madhya Pradesh.
3.7 Trustee
A trustee will be appointed to represent the interests of the bondholders. The trustee will act as the intermediary between the bondholders and Urjadata Solar Renewal Energy Private Limited, ensuring compliance with the terms and conditions outlined in this prospectus. The trustee will also oversee the disbursement of funds and the execution of the bond’s terms.
4. Project Overview: 4MW Solar Power Project
The 4MW solar power project is located in Sagar, Madhya Pradesh, and is part of the government’s PM KUSUM scheme, which promotes solar energy in rural areas. This project will consist of two separate installations of 2MW each, and will contribute to the region’s renewable energy capacity while reducing reliance on conventional energy sources.
Project Highlights:
– Location: Sagar, Madhya Pradesh
– Capacity: 4MW (2×2 MW installations)
– Technology: Photovoltaic (PV) solar panels
– Expected Energy Generation: 7,500 MWh annually
– Environmental Impact: Estimated reduction of 6,800 metric tons of carbon emissions per year
The project will be developed in compliance with all relevant environmental and safety regulations, ensuring minimal environmental impact and contributing to the overall sustainability goals of the region.
5. Risk Factors
Investors should carefully consider the following risk factors before subscribing to the Green Bonds:
– Market Risk: Interest rate fluctuations and economic changes may affect bond prices and returns.
– Regulatory Risk: Changes in government policies, taxation, or renewable energy regulations could impact the project’s financial viability and the bond’s performance.
– Operational Risk: Delays in construction, technological failures, or cost overruns may affect project timelines and returns.
– Credit Risk: There is a risk that Urjadata Solar Renewable Energy Private Limited may default on its obligations under the bond, resulting in losses for bondholders.
For a detailed analysis of the risks associated with this bond issuance, please refer to the “Risk Factors” section of this prospectus.
6. Financial Statements
Urjadata Solar Renewable Energy Private Limited provides the audited financial statements for the last three fiscal years. These statements reflect the company’s financial performance, operational efficiency, and ability to manage cash flow effectively. The financial statements have been audited by a registered chartered accountant firm and comply with the requirements of the Companies Act, 2013.
Key Financial Highlights:
– Revenue Growth: Consistent growth driven by successful solar projects.
– Profit Margins: Positive net income with strong operational efficiency.
– Balance Sheet: Healthy balance sheet with a low debt-to-equity ratio and ample liquidity to support future projects.
These financial statements are available upon request and provide a comprehensive overview of the company’s financial health.
7. Legal and Regulatory Information
This Green Bond issuance is in compliance with all relevant legal and regulatory frameworks, including:
– Companies Act, 2013
– SEBI (Issue and Listing of Debt Securities) Regulations, 2008
– SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
Urjadata Solar Renewable Energy Private Limited has completed all requisite legal checks and obtained necessary approvals from regulatory bodies. Legal opinions and compliance certificates are available for review by prospective investors.