Waaree Energies IPO Listing :Waaree Energies a hydraulic Equipment manufacturing company IPO has opened well in the market
Waaree Energies IPO Listing : Waaree Energies Ltd launched in the stock market with a stiff listing on the Bombay Stock Exchange (BSE) where the stocks opened at a premium of 69.66% to the IPO price. The shares of the company went live on Monday October 28 at ₹2,550 per share, after a spectacular IPO launch. It fell to ₹2,294 in the morning, following selling pressure, but increased to ₹2,477 by mid-morning.
Analysts Weigh In of Waaree Energies : Possible Prospect for Expansion and Investors’ Attitudes
Shivani Nyati of Swastika Investmart Ltd assured that Waaree Energies is on solid ground in the solar energy industry adding that, “Waaree Energies Limited is an integrated solar PV manufacturer from India with an installed capacity of 12 GW. Thus the company deals with multi-crystalline, monocrystalline and TopCon modules as a part of its portfolio. Challenges Present Nyati said that stable revenue growth of Waaree coupled with the increasing number of clients demonstrate growth prospects.
Since warm listing is strongly positive, investors may wish to take part profits now. But for investors who have been holding it in the long term, Patrushi said they should place a stop loss at ₹2,000.
IPO Subscription Success: Investor Interest Peaks
Waaree Energies’ IPO received a massive response and the issue got 79.44 times subscription on October 21-October 23. There was also oversubscription that include 215.03 times for Qualified Institutional Buyers (QIB), 65.25 times for Non-Institutional Investors (NII) and 11.27 times for retail investors showing investors confidence.
The IPO comprise of the new share sale in which the company has sold ₹3,600 crore of new equity and the Offer For Sale (OFS) of 48 lakh shares of ₹721.44 crore by the promoters and other existing shareholders. At the issue price of ₹1,427 to ₹1,503, the total amount of money been garnered by Waaree was ₹4,321.44 crore.
For each of the investments, the allocation and valuation is provided, as well as the reason for that particular investment and its significance in the portfolio.
In the issue, out of the total issue size, QIBs were offered 50% of the issue, while 35% was offered to the retail investors and 15% to the Non-Institutional investors. For the retail investors it was set at a price band of ₹13,527 for buying 9 shares through the IPO. NII investors had minimum of 15 shares of ₹2,02,905 and 74 of ₹10,00,998 under different categories for investment. Further, 7.5% of the shares, about ₹ 65 crore were assigned to the employees.
Funding Expansion: Further used to Fuel its Growth Strategy for Waaree Energies
The fresh capital will enable Waaree to achieve its aggressive plan of setting a new manufacturing facility of 6GW for solar ingot solar waver, solar cells, and photovoltaic modules in Odisha. The balance of the amount will be used for other corporate purposes to help advance Waaree’s goals of expanding its solar PV module manufacturing.
Outlook for Investors: Hold, Buy, or Sell? of Waaree Energies
Despite the rather laconic information presented for the evaluation, it is possible to state that in the long term, Waaree Energies has all the chances for the successful development provided the company’s beginning and the prospects of the chosen Fields of activity. While short term investor may want to book partial profits considering the listing has listed well; long term investor need to consider ₹2,000 as an important level to exit in case the market turns unfavorable.
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Risk Factors and Market Dynamics to Consider of Waaree Energies
While Waaree Energies has demonstrated a promising start, investors should remain vigilant of potential risks. Factors such as global supply chain fluctuations, raw material costs, and evolving government policies on renewable energy may impact the company’s margins and growth. Additionally, the solar energy market is highly competitive, with established and emerging players vying for market share. Investors are advised to monitor the stock’s performance closely, particularly in the context of the company’s ambitious expansion plans.