It will soon be time for Waaree Energies’ IPO to go public for its Rs 4,000-crore first share sale on the main market. With an installed capacity of 12 GW as of June 30, 2023, the company is a big player in the solar energy industry. Its main business is making PV modules.
Much talk is also going on about the Waaree Energies dark market premium, which has gone over 100% before its first share sale on October 21. Before this, market demand for Hyundai Motor India’s biggest-ever IPO was slow. The IPO ended last week with a 237 per cent subscription. Demand stayed low because of the unstable market and a worsening outlook for the car sector.
Important things to know about the Waaree Energies IPO before it starts today
1) Waaree Energies IPO GMP: The GMP for Waaree Energies IPO has gone through the roof, with prices soaring between Rs 1,500 and Rs 1,510 on the uncontrolled market. This shows how much people want to buy the company’s shares. The high GMP means the listing has increased by more than 100%. The grey market has a big premium, which means investors are ready to pay a lot more than the IPO price to get a piece of Waaree Energies.
2) Waaree Energies IPO Price Band: The company that makes solar panels has set an IPO price range of Rs 1,427 to Rs 1,503 per share.
3) Waaree Energies IPO Dates: The public can subscribe today at 10 a.m. The sale will end on October 23 at 5 p.m.
4) Waaree Energies IPO Size: The IPO consists of two parts: a new issue of equity shares worth a total of Rs 3,600 crore and an offer-for-sale (OFS) of 48 lakh equity shares made by the company’s promoter and existing owners for Rs 721.44 crore, the highest price in the price band. This means that the total size of the issue is Rs 4,321.44 crore.
5) Details about the IPO: The producer, Waaree Sustainable Finance Pvt Ltd, and the shareholder, Chandurkar Investments Private Ltd, sell shares through the OFS.
6) IPO Goal: The money from the new offering will be used to build a 6 GW factory in Odisha that will make ingot wafers, solar cells, and solar PV modules. A part of it will also be used for general business reasons.
7) Market valuation: The company is considered worth more than Rs 4,300 crore at the high end of the price range.
There are 8% reserved lots. Of the total issue size, 50% has been set aside for qualified institutional investors, 35% for individual investors, and 15% for non-institutional investors. Employees of the company that makes solar panels have been given shares worth Rs 65 crore.
9) The business runs five factories: one in Surat, one in Tumb, one in Nandigram, one in Chikhli, and one in Uttar Pradesh. The IndoSolar Facility is in Noida.
10) Broking notes: KR Choksey has a ‘subscribe’ call on the IPO, saying, “At a P/E ratio of 33.9x, Waaree offers an attractive investment opportunity in India’s booming renewable energy market. Because of these things, we suggest that the upcoming IPO get a “subscribe” grade. A “Subscribe” grade has also been given to the issue by Monarch Networth Capital.
Shares of the company will go on sale on October 28. Link Intime India Private Limited will handle the offer.
The October primary market has been very active, with big public problems getting much attention. Hyundai Motor India, which concluded its sale last week, was subscribed 2.37x, as the institutional demand helped Hyundai cross the IPO line.
TNG Times experts only share their own thoughts and financial advice. The website and its management do not agree with them. TNG Times advises users to check with certified experts before making investment decisions.
