GK Energy Ltd IPO

About GK Energy Ltd

Our Company was originally incorporated as GK Energy Marketers Private Limited, a private limited company under the provisions of the Companies Act, 1956 at Pune, Maharashtra, pursuant to a certificate of incorporation dated October 14, 2008, issued by the RoC. Thereafter, pursuant to a resolution passed by our Board on March 11, 2024, and by our Shareholders on June 3, 2024, the name of Company was changed from GK Energy Marketers Private Limited to GK Energy Private Limited to align the name of our Company with our business activities and the certificate of incorporation pursuant to the change of name of our Company was issued by the registrar of companies, Central Processing Centre on July 20, 2024. Our Company was subsequently converted from a private company to a public company, pursuant to a resolution passed by our Board on October 9, 2024, and by our Shareholders on October 19, 2024, consequent to which its name was changed to GK Energy Limited and a fresh certificate of incorporation consequent upon conversion to public company was issued by the RoC on December 2, 2024.

We primarily operate in the EPC of solar-powered agricultural water pump systems in India. India's 118 million farmers are heavily dependent on groundwater extraction for irrigation. As of 2022, eight million out of approximately 30 million agriculture pumps in India were diesel based and 22 million pumps relied on grid electricity. Solar-powered pump systems present a transformative solution, offering an environmentally sustainable, cost-effective and reliable alternative to traditional irrigation methods. The PM-KUSUM Scheme, launched in 2019 with an outlay of ?344 billion, aims to install 1.4 million standalone solar-powered pump systems by March 31, 2026 to aid farmers and to reduce carbon dioxide emissions. The market size of the domestic solar-powered pump systems increased at a compound annual growth rate (CAGR) of 15% from Rs.19.3 billion in Fiscal 2019 to approximately Rs.39 billion in Fiscal 2024 and is forecast to reach Rs.300-320 billion by Fiscal 2029, witnessing a significant CAGR of 52% between Fiscals 2024 and 2029. Close to 84% of the additions are expected to be under the PM-KUSUM Scheme components B and C. Component B covers and provides for the installation of stand-alone solar-powered agriculture pump systems of capacity up to 7.5 HP for replacement of existing diesel agriculture pumps / irrigation systems in off-grid areas, where grid supply is not available. Component C covers and provides for the solarisation of existing grid connected agriculture pumps of capacity up to 7.5 HP. The balance additions are expected to be driven by state government schemes.

We are primarily a pure play engineering, procurement and commissioning (EPC) provider of solar-powered agricultural water pump systems, which comprises direct-to-beneficiary sales and sales to others. Direct-to-beneficiary sales comprise (i) the EPC of GK Energy brand solar-powered pump systems to farmers who chose us as their vendor on portals of agencies appointed by state governments (known as state nodal agencies or state implementing agencies (SNAs/SIAs)) wherein the orders are placed with us by SNAs/SIAs under the Government's Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan scheme (PM-KUSUM Scheme) and similar state government schemes, and (ii) the EPC of GK Energy brand solar dual water pump systems (solar-powered pump systems that include water storage) to local government bodies. Sales to others comprise the EPC of solar-powered pump systems under orders placed by customers directly with the Company.

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