IREDA IPO day 1: Issue subscribed 75% so far, retail portion fully booked

Also Read: IREDA IPO opens today. GMP, subscription status, price, review, other details. Apply or not?

Retail investors responded incredibly well to the IREDA IPO within the first two hours of it being available for subscription, and the portion that is fully booked.

IREDA IPO has reserved not more than 50% of the shares in the public issue for Qualified Institutional Buyers (QIB), not less than 15% for Non Institutional Investors (NII), and not less than 35% of the offer is reserved for Retail Investors.

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On day 1, IREDA IPO’s retail investors portion was subscribed 1.08 times, NII portion was subscribed 97%, and Qualified Institutional Buyers (QIB) portion is yet to be booked. Employee portion has been subscribed 1 time.

IREDA IPO subscription status

IREDA IPO has received bids for 35,23,47,120 shares against 47,09,21,451shares on offer, at 12:51 IST, according to data from the BSE.

Indian Renewable Energy Development Agency IPO retail investors’ portion received bids for 25,26,92,260 shares against 23,45,23,015 shares on offer for this segment.

Indian Renewable Energy IPO’s non-institutional investors’ portion received bids for 9,73,09,780 shares against 10,05,09,864 on offer for this segment.

Indian Renewable Energy Development Agency IPO’s Qualified Institutional Buyers (QIBs) portion received bids for 4,66,440 shares against 13,40,13,152 shares on offer for this segment.

Indian Renewable Energy IPO’s employee portion received bids for 18,78,640 shares against 18,75,420 shares on offer for this segment.

Also Read: Indian Renewable Energy Development Agency IPO opens: GMP, subscription status, issue details, 10 key things to know

IREDA IPO details

The IPO will comprise a fresh issue of up to 40.32 crore shares and an offer for sale (OFS) of up to 26.88 crore equity shares by the President of India, acting through the ministry of new and renewable energy. The offer includes a reservation for subscription by employees. IREDA IPO size is ₹2,150.21 crore.

According to the RHP, the proceeds from the fresh issue will be used for augmenting its capital base to meet its future capital requirements and onward lending.

“The main objects and objects incidental and ancillary to the main objects set out in the Memorandum of Association enable us: (i) to undertake our existing business activities; and (ii) to undertake the activities proposed to be funded from the Net Proceeds. Further, our Company expects to receive the benefits of listing of the Equity Shares on the Stock Exchanges, including to enhance our brand image among our existing and potential customers and creation of a public market for the Equity Shares in India,” said the company in its RHP.

The President of India acting through the Ministry of New and Renewable Energy, Government of India. The Promoter, along with its seven nominees, currently holds 100.00% of the pre-offer paid-up equity share capital of the company, as per RHP.

The registrar for the IREDA IPO is Link Intime India Private Ltd, and the book running lead managers are IDBI Capital Market Services Limited, Bob Capital Markets Limited, and SBI Capital Markets Limited.

Also Read: IREDA IPO: PSU raises ₹643 crore from anchor investors ahead of the issue opening

IREDA IPO GMP today

IRDEA IPO grey market premium is +6. This indicated IRDEA share price today are trading at a premium of ₹6 in the grey market on Tuesday, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of IRDEA share price was indicated at ₹38 apiece, which is 18.75% higher than the IPO price of ₹32.

‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.

Also Read: Indian Renewable Energy Development Agency IPO now open: 20 key risks from RHP to consider before subscribing to issue

Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decisions.

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Updated: 21 Nov 2023, 12:52 PM IST