Sembcorp Green Infra, the renewable energy arm of Singapore-based Sembcorp Industries, has filed draft papers for an initial public offering in Mumbai to raise Rs 37.5 billion (bn).

The document dated Wednesday sets the proposed issue size at the equivalent of Rs 3,750 crore in local nomenclature and indicates a wholly fresh share sale. The proposed offering will comprise only fresh shares, with the parent company not offering any existing stake, and the company plans to allocate about Rs 30 billion (bn) of the proceeds to debt repayment.

The move constitutes a second attempt to list the Indian business after an earlier draft filing in 2018 by Sembcorp Energy India that was withdrawn the following year when the parent opted to infuse fresh equity. The new filing signals renewed intent to access public markets as the company pursues growth.

Sembcorp Green Infra is wholly owned by Sembcorp Industries, which is supported by Singapore state investor Temasek, and the Indian unit has expanded its renewable energy portfolio in recent years. The company has positioned itself to benefit from increased national investment in clean power and efforts to raise the contribution of non-fossil fuel sources in the electricity mix.

Axis Capital, Citigroup, CLSA, HSBC, ICICI Securities, IIFL Capital Services and Kotak Mahindra Capital have been appointed as book-running lead managers for the offering. The appointment reflects a broad syndicate of domestic and international banks to manage the proposed transaction.

Management has framed the debt reduction as a means to strengthen the balance sheet and position the company for future investment in capacity additions and project development across India. The listing will provide investors with direct exposure to the country's renewable energy expansion while the parent retains strategic ownership.