The initial public offering (IPO) of Waaree Energies has received a solid response from the investors. The bidding for Waaree Energies IPO opened on October 21 and ends today, October 23. The public issue has been subscribed around 14 times in two days of the subscription period. Waaree Energies IPO price band has been fixed at Rs 1,427-1,503 per share.
At the upper end of the price band, the company plans to raise Rs 4,321.44 crore from the book-built issue. The public issue comprises a fresh issue of 23,952,095 shares and an offer for sale of 23,952,095 shares, with a face value of Rs 10 per share.
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Waaree Energies IPO subscription status
Waaree Energies received bids worth Rs 42,619.54 crore. The retailers bid the issue for Rs 12,204.46 crore, booking the issue 8.19 times. The NIIs subscribed to the issue 41.95 times. The QIBs booked the IPO 3.11 times. The company received Rs 27,573.00 crore worth of bids from NIIs.
Prior to the opening, the company successfully raised Rs 1,277 crore from 92 anchor investors.
Waaree Energies IPO GMP
In the unlisted market, shares of Waaree Energies continue to command a solid premium, reflecting favourable market sentiments for the public issue. According to Investorgain[Dot]Com, Waaree Energies shares were trading at a premium of Rs 1,415 against the upper end of the IPO price of Rs 1,503, a GMP of 94.14 per cent.
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Waaree Energies IPO Listing Date
The public issue will close for subscription today. The basis of allotment for the Waaree Energies IPO shares is expected to be finalised on Thursday, October 24, 2024. The shares will likely be credited to demat accounts on Friday, October 25, 2024.
The company is expected ts debut on BSE and NSE on Monday, October 28, 2024.
Waaree Energies IPO Review
Geojit Financial Services, in its research note, has recommended a ‘Subscribe’ rating to Waaree Energies IPO, citing the company’s experience in module manufacturing, backward integration, leading position in exports, a strong order book, and government policies like China Plus One.
“At the upper price band of Rs 1,503, WEL is trading at a P/E ratio of 34x for FY24, which is at a discount compared to its listed peers,” according to Geojit.
InCred Equities has given subscribe rating to the IPO, given the strong financials, strong industry tailwinds with long-term opportunities in the solar industry, robust order backlog and further expansion plans.
Based on FY25F annualized financials, the IPO’s higher band implies an EV/EBITDA of 18 times, and a P/E of 27 times, which is at a discount to its peers, in our view, the brokerage said.
Waaree Energies (Waaree) is India’s largest manufacturer and exporter of solar modules having a capacity of 13.3GW, which grew 6 times in just three years from 2GW in FY21. It has a market share of 21 per cent in India and a healthy 44 per cent share in exports of solar modules from India. The company is coming up with an IPO of Rs 43.2 billion comprising a fresh issue of shares for Rs 36 billion and an offer for sale to the extent of Rs 7.2 billion. The IPO proceeds will be utilized to partly finance its 6GW ingot, wafer, solar cell and solar PV module manufacturing facility in Odisha.
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