Synopsis: Sterling & Wilson plans a Rs. 1,500 crore IPO for its generator manufacturing business to fund domestic and global expansion. Backed by a Rs. 2,900 crore order book and rising data center demand, the company is accelerating its growth strategy.
Companies often unlock value and raise growth capital by listing specific business divisions separately, especially when those businesses operate in high-growth industries. Such IPOs can help fund expansion, improve operational focus, and enhance the subsidiary’s market visibility.
Growing demand from sectors such as data centers, infrastructure, manufacturing, and industrial power solutions has created fresh opportunities for generator manufacturers. As capacity expansion accelerates, companies are increasingly turning to the capital markets to support their next phase of growth.
IPO Summary and Important Details
Sterling & Wilson is all set to conduct an IPO of around Rs. 1,500 crore for its power generators manufacturing business, namely Sterling Green Power Solutions (previously known as Sterling Generators).
ICICI Securities and IIFL Capital have been appointed as the lead managers of the issue. The proceeds raised through the issue will mostly be used for the company’s domestic and international expansion plans.
Expansion Plans and Capex
Headquartered in Silvassa, Sterling Green manufactures diesel generators in the range of 250 kVA to 5,000 kVA. In order to meet increasing demands, the company has planned a capital expenditure of Rs. 90-100 crore in FY27 and FY28. These include the setting up of a manufacturing plant in Pune for the domestic market and another one in Dubai in FY27 for venturing into European and American markets.
Financial Performance and Data Center Orders
The order book of Sterling Green increased nearly double owing to expansion in the data center space, and stood at around Rs. 2,900 crore till May 1, 2026. Some of the major customers of the company are Adani, AirTrunk, and DAMAC. The provisional total income for FY26 stood at Rs. 1,167 crore (against Rs. 868 crore in FY25).
Sterling Green was previously a subsidiary of Shapoorji Pallonji & Company, which held a 56% stake as of March 31, 2024. However, following a secondary share sale to a group of investors, Shapoorji Pallonji’s holding dropped to 42% by March 31, 2025, resulting in Sterling Green ceasing to be its direct subsidiary. The remaining stake is held by chairman Khurshed Daruwala and his family.
Sterling & Wilson Renewable Energy Ltd is one of the leading Indian engineering, procurement and construction (EPC) companies focused on solar power projects. It provides end-to-end renewable energy solutions, including engineering, construction, operations and maintenance services, with a presence across India and international markets.
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