Bajaj Energy IPO: Upcoming IPOS 2021

Bajaj Energy IPO

The Bajaj Energy IPO  announced last week has the biofuels world chattering.  The company, based in New Hampshire, develops technology for cellulosic ethanol production.  One of the largest private thermal generation companies has researchers trying to find a way to cheaply product ethanol fuel without relying on corn.

Bajaj Energy IPO Size

Bajaj Energy IPO Size is around Rs 5,450 crores. The Bajaj Energy IPO  papers state that the Michigan plant is expected to produce, on a yearly basis, twenty million gallons of ethanol.  The drop-in yeast substitute is their featured product, and it replaces an expensive portion of the ethanol production process used in other methods. 

They estimate the yeast substitute will result in a cost savings of one to two cents per gallon.  This is the key factor they hope will grab  investors’ attention during the Bajaj Energy IPO.

Bajaj Energy makes ethanol fuel out of hardwood pulp rather than corn and aims to produce unsubsidized ethanol at around $1.77 per gallon.  This represents several substantial benefits over producing ethanol from corn, which is subsidized. 

Bajaj Energy IPO Updates

They are looking to acquire Lalitpur Power’s 1,980 MW from the proceeds of the IPO. They have a demo facility in Rome, NY, and have shown considerable success in their technology.

Executives at the company hope to raise up to $100 million worth of shares in the Bajaj Energy IPO, which is backed by Morgan Stanley, UBS Securities and Credit Suisse. 

There are several venture companies invested privately in Bajaj Energy, namely SunOpta, Flagship, and General Catalyst.  Earlier this year Mascoma partnered with Valera in constructing a production plant in Michigan.

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