Waaree Energies’ initial public offering (IPO), which opened for subscription on Monday, was subscribed 10.64 times so far on the final day of the bidding process. The demand was led by a strong response from non-institutional investors (NIIs) along with a solid show by the retail investors.

The issue received bids for over 22 crore shares as against 2.10 crore shares available for subscription, according to data available as of 10:33 am.

The issue was subscribed 7.08 times by retail individual investors, while the non-institutional investors’ (NIIs) portion was booked 31.36 times so far today.

The category set aside for qualified institutional buyers (QIB) was subscribed 1.78 times so far on day three. The employee quota saw 3.37 times subscription.

The grey market premium (GMP) of the company stoood at ₹1,375, continuing the upward trend seen in the last few days.

However, it is important to note that grey market premiums are just an indicator of how the company’s shares are stacked up in the unlisted market and are subject to change rapidly.

The company is selling its shares in a fixed price band of ₹1,427-1,503 per share, where investors can bid for one lot of nine shares and then in multiples of nine.

Considering the upper price band, the company aims to garner ₹4,321 crore, which includes a fresh issue of shares worth ₹3,600 crore, along with an Offer for Sale (OFS) component of 48 lakh equity shares.

Under the OFS component, promoter Waaree Sustainable Finance Private Ltd and shareholder Chandurkar Investments Private Ltd will be selling shares.

The company will have a post-listing market capitalisation of ₹43,179 crore at the upper price band.

The company proposes to utilise 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.

Waaree Energies, one of the major players in the solar energy industry in India, is focused on PV module manufacturing with an aggregate installed capacity of 12 GW as of June 30, 2023.

It operates five manufacturing facilities with one factory each, located at Surat, Tumb, Nandigram and Chikhli in Gujarat, and the IndoSolar Facility, in Noida, Uttar Pradesh.

With over 44% market share in India’s solar module export market, the company has strengthened its market position.

The company’s revenue increased by 70% and profit after tax (PAT) surged by 155% between the financial year ending with March 31, 2024 and March 31, 2023.

WEL holds a robust order book of 19.9GW. In FY24, the company generated over ₹6,500 crore from export markets. Further, it has strengthened its order book by securing substantial contracts from major developers in the US.

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

The allotment for the shares of the company will be finalised on October 24, while the issue will be listed on BSE, NSE with a tentative listing date fixed as October 28, 2024.