Amid a broader market selloff, Waaree Energies has seen its grey market premium (GMP) dip from Rs 1,500-1,550 to Rs 1,200-1,250, reflecting a correction in unofficial markets. The company’s shares are set to make their debut on October 28.
Despite the GMP drop, Waaree’s Rs 4,321 crore IPO drew substantial interest, closing with an overall subscription of 76 times. Institutional investors subscribed 208 times, while non-institutional investors followed closely with a 62 times subscription rate.
One of the factors driving this strong investor interest is the exceptional performance of its listed subsidiary, Waaree Renewable Technologies Ltd., which has surged over 59,000% on the BSE in the past five years.
“The market correction has certainly affected the GMP, but investor interest remains robust,” said Shivani Nyati, Head of Wealth at Swastika Investmart, adding, “We are focused on delivering our strategic goals, including new manufacturing capabilities, which align with growing demand for solar energy solutions.”
Proceeds from the IPO will fund Waaree’s expansion plans, including the establishment of a 6 GW manufacturing facility in Odisha to produce ingots, wafers, solar cells, and PV modules, as well as for general corporate purposes.
As India’s largest solar PV module manufacturer, Waaree boasts an installed capacity of 12 GW as of June 2024, positioning it strongly in the industry. In FY24, Waaree reported a 69% year-on-year increase in revenue to Rs 11,398 crore, with profit after tax more than doubling to Rs 1,274 crore.
To enhance its global footprint, Waaree is also setting up a 3 GW manufacturing facility in the United States, aimed at meeting rising global solar demand.
Investors can check the IPO allotment status on the BSE website by selecting “Waaree Energies” from the dropdown and entering their application or PAN number. Link Intime India’s website also offers an option to verify allotment by selecting Waaree Energies IPO and entering PAN details.
The issue’s book-running lead managers include Axis Capital, IIFL Securities, Jefferies India, Nomura Financial, SBI Capital, Intensive Fiscal Services, and ITI Capital.