Waaree Energies IPO Listing: Shares list with a premium of 70% over issue price
Waaree Energies’ equity shares made their stock market debut on October 28, 2024. Following record-breaking interest from investors for the initial public offering (IPO), equity shares of the solar photovoltaic (PV) module manufacturer listed with a 70% premium over the issue price.
Shares of Waaree Energies listed on the Bombay Stock Exchange (BSE) with gains of 69.7% at ₹2,550. Meanwhile, the shares listed on the National Stock Exchange (NSE) at ₹2,500 (66.33%). The issue price for the Waaree Energies IPO was ₹1,503. However, after the stellar debut, shares of the company slipped in trade by over 10% and were trading at ₹2,367 per share.
Waaree Energies’ shares hit an intraday high of ₹2,624.40 per share and a low of ₹2,300. Shares of the company slid lower as investors booked profits upon listing.
Waaree Energies IPO Details
The IPO of Waaree Energies attracted significant interest from investors. It broke the record by receiving the highest number of applications for an IPO at 97.34 lakh. During the 3-day share sale, the ₹4,321 crore IPO managed to garner bids worth ₹2.41 lakh crore.
Waaree Energies opened the issue on October 21, 2024, and the IPO was closed on October 23, 2024. The shares were allotted on October 25, 2024. The IPO raised funds through the issue of fresh equity shares and an offer for sale. The company issued 2.4 crore fresh equity shares amounting to ₹3,600 along with an offer for sale of 48 lakh shares worth ₹721.44 crore.
The overall issue received an overwhelming response and was subscribed 76.34 times. Qualified institutional buyers (QIBs) subscribed to the issue 208.63 times. Meanwhile, the portion set aside for high net-worth individuals and non-institutional buyers was subscribed 62.48 times. Retail investors subscribed to the issue 10.79 times, while the portion of the issue allocated to employees was subscribed 5.17 times.
The IPO’s price band was set at ₹1,427 to ₹1,503 per share.
About Waaree Energies
Waaree Energies is one of India’s largest solar PV module manufacturers. The company was founded in 1990 and commenced operations for solar PV module manufacturing in 2007. The company has a total installed capacity of 12 gigawatts (GW). The company has five manufacturing facilities located across Gujarat and Uttar Pradesh.
The company reported that from the net IPO proceeds, it will allocate ₹2,750 crore towards upgrading and enhancing the company’s capacity. Waaree Energies aims to set up a 6 GW ingot wafer, solar cell, and solar module facility. The company is aiming to grow its capacity to over 20 GW by FY27. Further, the company aims to expand its presence in overseas markets by setting up a 3 GW manufacturing facility in the United States.
For the financial year ended March 31, 2024, Waaree Energies reported a 154.73% year-on-year (YoY) rise in net profit to ₹1,274 crore. The company’s total consolidated revenue for the fiscal jumped 69% YoY to ₹11,632 crore.
In FY24, the company’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) surged 132.89% YoY to ₹2,150 crore.
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