Waaree Energies IPO opens on Monday. Price band, GMP among 10 things to know before subscribing


The initial public offering (IPO) of Waaree Energies will open for subscription on Monday and close on October 23. Through the public offer, the company plans to raise nearly Rs 4,321 crore. Here are 10 things to know about the KRN Heat Exchanger IPO before subscribing to the issue.

1) What is the business overview of Waaree Energies?

The company is a manufacturer of solar PV modules in India with an aggregate installed capacity of 12 GW and utilised capacity of 43.37%, for the year ended March 31, 2024. It had an aggregate installed capacity of 12 GW and utilised capacity of 45.01%, as of June 2024.

2) What is the industry overview of Waaree Energies?

The Indian commercial and industrial solar sector added approximately 10GW over Fiscal 2019 and 2023, with total installed capacity as of December 2023 at approximately 25 GW. The commercial and industrial segment accounts for 70%-80% of the country’s rooftop solar installations and is making headway in the utility-scale solar space as well through open access and group captive routes.

3) What is the current GMP of Waaree Energies?

According to market analysts, the current GMP of Waaree Energies is Rs 1,340, indicating a premium of 89% to the issue.

4) What is the size of Waaree Energies IPO?

The issue includes a fresh equity sale worth Rs 3,600 crore and an offer for sale (OFS) of Rs 721 crore.

5) What is the price band for Waaree Energies IPO?

The company has fixed a price band of Rs 1,427-1,503 per share, where investors can bid for 9 shares in one lot.

6) What is the structure of Waaree Energies IPO?

About 50% of the public offer is reserved for qualified institutional buyers, 35% for retail investors and the remaining 15% for non-institutional investors.

7) How is the financial performance of Waaree Energies?

For FY24, the company’s revenue from operations jumped 69% year-on-year to Rs 11,398 crore, while profit after tax more than doubled to Rs 1,274 crore.

8) What are the objects of Waaree Energies IPO?

The company proposes to use the funds raised from the IPO for key initiatives, including establishing a 6 gigawatt (GW) manufacturing facility for ingots, wafers, solar cells, and PV modules in Odisha, as well as supporting general corporate purposes.

9) Who are the book-running lead managers for Waaree Energies IPO?

Axis Capital, IIFL Securities, Jefferies India, Nomura Financial Advisory and Securities (India), SBI Capital Markets, Intensive Fiscal Services and ITI Capital are the book-running lead managers to the issue.

10) When is the share allotment and listing date of Waaree Energies IPO?

The share allotment for the IPO will likely be finalised on October 24 and the company is anticipated to list on stock exchanges on October 28.

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