Sterlite Power Transmissions Limited

Last Updated on September 27, 2023 by BFSLTeam BFSLTeam

Sterlite Power Transmission Ltd, a unit of Vedanta Group, is a leading transmission infrastructure company with a presence both in India and across the globe. It is the largest private player in terms of its project portfolio under the interstate Tariff-based Competitive Bidding (TBCB) route.

It is the largest industry player with a 26% market share of the transmission projects sanctioned via. the TBCB route. The company is preparing to go public by leveraging its market position to enhance its capital structure for its upcoming ventures.

If you are looking forward to leveraging this sectoral growth, you can consider investing in Sterlite Power Transmission Ltd IPO. Read along to know more about the same.

About the Company

Sterlite Power Transmission Limited is one of the most important integrated power transmission developers and solutions providers internationally. In India, the company has gained 26% of the total market share of all transmission project bids. In Brazil, it has 13% of the market share of transmission project bids.

The company firmly believes that access to electricity can transform societies and usher in positive changes. With that in mind, Sterlite Power Transmissions Limited has paved the way for adopting some of the best international practices in a legacy-driven power transmission sector. 

The team at Sterlite Power Transmission Limited is always at the forefront when it comes to creating and adapting newer and more efficient technologies. As a result, the company has a high ability to customise the solutions for their customers’ needs.

Employees at Sterlite Power Transmission Limited are driven to succeed as they are well aware of the social impact of their work. It is uniquely positioned to address the challenges of energy delivery.

Also Read: How To Apply For An IPO?

Strength of the Company

The qualitative strengths of Sterlite Power Transmission Limited are as follows:

• The company has achieved a leadership position in the Indian power transmission industry through its processes and technology. It has built a track record of executing projects with high profit margins.
• Sterlite Power Transmission Limited is known for using innovative solutions and technology and executing complicated projects successfully.
• The company is an important player providing solutions across the entire value chain of transmission infrastructure. Its solutions as well as convergence segments have immense growth potential. 
• An important point to take into consideration is that Sterlite Power Transmission Limited is a purpose-driven organisation. Its strong focus on ESG (Environment, Social and Governance) creates a sustainable business model.
• The company has a high ROCE (Return on Capital Employed). It also has an efficient capital structure. Access to multiple funding sources is another major benefit. 
• The Board members, technical and management team members have good knowledge and are highly experienced. 

Risks Involved

The following are some risks involved with investing in this business: 

• A substantial portion of the company’s revenue is derived from the profits of its completed projects. However, there is no guarantee that its ongoing projects will yield the company profits.
• Sterlite Power Transmissions Limited may not be able to identify or rectify irregularities in the documents of the land they hold or plan to acquire. 
• The company has plenty of competitors in its sector. An increase in competition and subsequent pressure can have an adverse impact on the company’s ability to grow. 
• The construction, operations and maintenance of this company’s transmission systems involve risks that may harm people or property. Furthermore, it may lead to disruption in Sterlite Power Transmissions Limited’s business which may bring down its overall revenue. 

Also Read: Risk of investing in IPO

Why Should You Invest in Sterlite Power Transmissions Limited IPO?

Sterlite Power Transmissions Limited has immense growth potential and is the largest private player when it comes to project portfolios obtained via the interstate TBCB route. It operates in India and Brazil. While making your investment-related decision, don’t forget that the power transmission industry in India has immense potential.

Sterlite Power Transmissions Limited Financials: 

Check the key financial data of this company: 

Particulars	For the Financial Year Ending (in Rs. million)
	March 31, 2021	March 31, 2020	March 31, 2019
Total Assets	67,542.69	91,457.19	1,22,671.74
Total Liabilities	56,570.33	90,846.78	1,29,428.51
Total Expenses	26,577.59	37,283.22	40,877.31
Total Revenue	38,169.59	51,583.16	35,714.60
Profit/Loss After Tax	8,701.24	9,429.73	(5,247.95)
EBITDA	18,317.68	22,770.09	3,233.63

How to Apply for Sterlite Power Transmissions Limited IPO?

Follow these steps to subscribe to Sterlite Power Transmissions Limited IPO: 

Step 1: Go to the Bajaj Trading Platform and log in with your credentials.

Step 2: Navigate to the ‘Menu’ and click on ‘Open IPOs’.

Step 3: Click on your preferred IPO on the redirected page.

Step 4: Fill up the required details and your UPI ID to apply.

Summary

Sterlite Power Transmission Ltd is the leading private player in the transmission infrastructure sector. It has a purpose-driven objective along with a strong focus on Environment, Social and Governance that enables them to create a sustainable business model.

The company has a firm belief that access to electricity can transform societies and usher in positive changes. It has adopted some of the best international practices in a legacy-driven power transmission sector.

The primary objective of this IPO is to make repayments and prepayments and for other corporate purposes to enhance its capital structure for the upcoming ventures.

Sterlite Power Transmissions Limited IPO FAQs