Inox GFL group raises Rs 1500 crore to achieve zero net debt

8 Dec 2022 , 12:35 PM

The Inox GFL Group, an Indian conglomerate with a more than 90-year legacy and a presence in two major business verticals, Chemicals, and Renewable Energy, has initiated a journey towards deleveraging across all of its operating entities.

The Group has been on a significant fundraising rampage, raising nearly Rs 1,500 crore across its entities, in the last fortnight.

This money has been used to significantly reduce debt across its operating companies, and as a result, the interest outlay will be reduced substantially, said the company in its media release.

At the renewable energy arm, Rs 740 crore was recently raised through an IPO of Inox Green Energy Services (IGESL), with the funds primarily used for debt repayment. Furthermore, the promoters recently raised Rs 720 crore through the sale of Gujarat Fluorochemicals (GFL) shares. The net proceeds of the sale have been reinvested in Inox Wind (IWL).

In turn, IWL has repaid the GFL advances used to establish wind energy capacities. GFL made advances to IWL for the purpose of establishing wind power capacity, which is now being refunded to GFL due to current policies limiting the captive usage of wind power.

The Inox GFL Group’s primary focus is on two business verticals: chemicals and renewable energy, with Fluoropolymers, Speciality Chemicals, Wind Energy, and Renewables as divisions.

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