ACME Solar Holdings Ltd's initial public offering (IPO) witnessed a steady response from investors on the second day of bidding process due to a strong retail push. As per BSE data available on Thursday, the retail portion was booked 2.04 times as of 5 pm, while the category reserved for employees has seen 98 per cent subscription. Non-institutional investors (NIIs) saw 56 per cent bids and the qualified institutional buyer (QIB) segment was subscribed 31 per cent.
Overall, the issue received 4,05,87,075 bids against 5,82,03,223 shares on offer with a subscription of 70 per cent on Day 2. The three-day initial share sale will be open till Friday, November 8. The solar power producer is selling its shares in the price band of Rs 275-289 apiece. Investors can apply for a minimum of 51 equity shares and in multiples thereafter.
The Rs 2,900 crore IPO of Acme Solar includes a fresh share sale of Rs 2,395 crore and an offer-for-sale (OFS) of up to 1,74,74,049 equity shares worth Rs 505 crore by its promoter entity ACME Cleantech Solutions.
The company said net proceeds from the issue will be utilised towards funding the repayment or prepayment of certain outstanding borrowings availed by the subsidiaries and general corporate purposes. Proceeds from the OFS will go to the selling shareholders of the company, it added.
ACME Solar raised a total of Rs 1,300.5 crore from anchor investors ahead of its IPO. Its anchor book included marquee names like Abu Dhabi Investment Authority, Goldman Sachs, Morgan Stanley, Nomura, Societe Generale, HSBC Global, BNP Paribas Funds, CLSA Global, Eastspring Investments and more.
It had a contracted project capacity of 1,650 MW, comprising 1,500 MW (2,192 MWp) of solar power projects and 150 MW of wind power projects.
For the quarter ended on June 30, 2024 (Q1 FY25), ACME Solar reported a net profit of Rs 1.39 crore with a revenue of Rs 340.01 crore. It had clocked a net profit of Rs 697.78 crore with a revenue of Rs 1,466.27 crore for the financial year ended on March 31, 2024.
Latest grey market premium (GMP)
In the grey market, ACME Solar shares were last seen trading flat at Rs 289 against an issue price of Rs 289 (upper price band). The stock is likely to get listed on November 13.
Nuvama Wealth Management, ICICI Securities, JM Financial, Kotak Mahindra Capital Company and Motilal Oswal Investment Advisors are the book-running lead managers of the ACME Solar IPO, while Kfin Technologies is the registrar.
Separately, Swiggy Ltd is another mainboard IPO open for subscription until tomorrow. In terms of investor interest, it continued to witness a tepid response on Day 2. The employee portion was subscribed 1.15 times, while the category reserved for retailers has seen 84 per cent subscription. The qualified institutional buyer (QIB) segment got 28 per cent bids and non-institutional investors (NIIs) saw 14 per cent subscription.
The issue received 5,57,09,140 bids against 16,01,09,703 shares on offer with a subscription of 35 per cent on Day 2. The food and quick-commerce platform is selling its shares in the price band of Rs 371-390 apiece. Investors can apply for a minimum of 38 equity shares and in multiples thereafter.