Waaree Energies IPO GMP soars over 85% as company fixes price band

Waaree Energies IPO GMP has soared over 85% a week before its launch.

Investors keen on Waaree Energies' upcoming initial public offering (IPO) have taken note of the significant rise in its grey market premium (GMP), which has soared to over 85 percent just days before the issue opens for subscription.

The IPO, set to launch next week, is garnering strong demand in the unofficial market, signalling positive sentiment among potential investors.

The grey market premium, a key indicator of market interest in an IPO before it officially lists, has jumped in the range of Rs 1250 to Rs 1280 in recent days. Waaree Energies has fixed a price band of Rs 1427-1503 per share.

The IPO will open for subscription on October 21 and will remain available to investors until October 23. Anchor bidding is scheduled to begin on October 18. Following the closure, the allotment of shares will be finalised on October 24, with refunds initiated and shares credited to demat accounts by October 25. The company is expected to make its stock market debut on October 28.

The Waaree Energies IPO comprises a fresh issue of shares worth Rs 3,600 crore, along with an offer for sale (OFS) of up to 4.8 million shares by existing shareholders and promoters. Based on the upper price band, the total issue size is estimated to be around Rs 4,321 crore, with the company's market capitalisation anticipated to reach approximately Rs 43,000 crore.

Waaree Energies, which began its journey in 2007 as a solar photovoltaic (PV) module manufacturer, has since grown into a major player in the renewable energy space, offering cost-effective and sustainable energy solutions globally.

Moneycontrol reported in September that the company plans to raise Rs 3,000 crore through a fresh issue of shares and an OFS of up to 32 lakh equity shares.

With its focus on solar energy, the company plays a vital role in promoting clean energy and reducing carbon footprints, aligning with global trends towards sustainable development.

The IPO is being managed by a consortium of financial institutions, including Axis Capital, IIFL Securities, Jefferies India, Nomura Financial Advisory and Securities, SBI Capital Markets, Intensive Fiscal Services, and ITI Capital.

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