IREDA IPO: The Indian Renewable Energy Development Agency’s (IREDA) first public offering (IPO) was launched today and will stay available until November 23rd, 2023, a Thursday this week. The PSU has set the IREDA IPO price band at 30 to 32 cents per equity share, and the book build issue has been proposed for listing on the BSE and NSE. The state-owned firm intends to generate Rs. 2,150.21 crore through its initial public offering.
Meanwhile, on the day of the IREDA IPO’s debut, the gray market remained positive on the original offering. According to market experts, shares of the Indian Renewable Energy Development Agency Ltd are now available in the grey market for a premium of 7.
Important IREDA IPO information
1] Today’s IREDA IPO GMP: According to market experts, shares of the firm are now available in the grey market for a premium of 7.
2] IREDA IPO date: The public offering will open for subscription on November 21, 2023, and will be open for bidding until November 23, 2023.
3] IREDA IPO pricing: The PSU has set the book build issue price band at ₹30 to ₹32 per share.
4] IREDA IPO lot size: Bidders will be able to apply in lots, with each lot containing 460 company shares.
5] IREDA IPO size: The public limited government business intends to raise Rs. 2,150.21 crore through its first public offering.
6] IREDA IPO allotment date: Following the T+3 timetable, the tentative date for finalizing share allocation is either November 24th or November 27th, 2023. This suggests that the IREDA IPO allotment date might be either Friday next week or Monday following the end of next week.
7] IREDA IPO investment limit: The IREDA IPO pricing band is ₹30- ₹32 per share, with one lot consisting of 460 business shares. A retail investor must have a minimum of ₹14,720 (32 x 460) to apply for the IPO.
8] IREDA IPO listing: The BSE and NSE have suggested listing the public limited government company’s first public offering (IPO).
9] IREDA listing date: The public issue may be listed on November 28th, 2023.
IREDA IPO: Should You Apply?
10] IREDA IPO review: Giving the IREDA IPO the ‘subscribe’ label, Arun Kejriwal, Founder of Kejriwal Research and Investment Services stated, “The company, as the name implies, is the nodal agency for Renewable energy and has financed multiple projects from the full value chain.” As of September 30th, its AUM was 47,500 crores. The company’s GNPA is 3.21% and its NNPA is 1.66%. The shares are being sold at a price-to-book ratio of 1.15-1.23. The EPS for the fiscal year ending March 23 is 3.78. The company’s PE range is 7.94-8.47. The firm compares favorably against PFC and REC. Investment in the firm makes sense, and there is potential for growth in the near and medium term.”
Reliance Securities has also assigned the IPO the ‘subscribe’ label, citing, “IREDA has played a strategic role in the GoI’s efforts for the promotion and development of the RE sector in India with an excellent record of growth, diversified asset book, high-quality assets, and consistent profitability.” IREDA is retaining its leadership in the RE sector and intends to expand its presence in new green technologies while reducing costs since it has access to cost-effective long-term borrowings with a combination of local and international borrowings, which has improved profitability in recent years. IREDA has shown solid profitability in recent years, with a robust growth forecast and an experienced management team; we advocate SUBSCRIBING to the issue.”
Nirmal Bang has also advised investors to apply for the IPO, stating that “diversification and expansion in emerging green technologies such as green hydrogen, pumped hydro preservation power plants, battery storage value chain, and green energy corridor provides scope for longer-term sustainability of its loan book growth.” We rank the issue as ‘Subscribe’ due to its modest base, shown track record of fast growth, improvement in asset quality, and low values at 1.1x trailing P/B (post issue).”
Primary market investors are also encouraged to apply for the IREDA IPO via BP Equities, Choice Broking, and Swastika Investment. SBICAP Securities, on the other hand, has not assessed this state-owned company’s initial public offering.
Disclaimer: The opinions and recommendations shown above are those of individual analysts or brokerage firms, not of Axpert Meda. Before making any financial choice, we recommend that investors consult with competent specialists.