Get Ready: Waaree Energies IPO Opens October 21! Discover 10 Must-Know Facts Before You Invest

The initial public offering (IPO) of Waaree Energies, a Mumbai-based company, will open for subscriptions on October 21 and close on October 23. The price range for the IPO will be announced on October 16. Anchor investors will receive their shares on October 18.

Waaree Energies got approval from the Securities and Exchange Board of India (SEBI) on September 23, 2024. The company, which makes solar photovoltaic (PV) modules, submitted its draft prospectus to SEBI in December last year to raise funds through the IPO.

Key Details About the Waaree Energies IPO

• Funding Goal: The company plans to raise up to ₹3,600 crore through the IPO by issuing new shares. There will also be an offer for sale of up to 4.8 million equity shares.
• Shareholders Selling Shares: Promoter Waaree Sustainable Finance Private Ltd and shareholder Chandurkar Investments Pvt Ltd will sell their shares.
• Lead Managers: The IPO is managed by Axis Capital Limited, IIFL Securities Ltd, Jefferies India Private Limited, Nomura Financial Advisory and Securities (India) Pvt Ltd, SBI Capital Markets Limited, Intensive Fiscal Services Private Limited, and ITI Capital Ltd. Link Intime India Private Ltd will be the registrar for the IPO.

Important Points to Know

1. Promoters: The company is promoted by Hitesh, Viren, and Pankaj Chimanlal Doshi, along with Waaree Sustainable Finance Private Ltd. As of October 14, their shareholdings are significant, with Hitesh holding 5.36% of the company.
2. Industry Position: Waaree Energies is the largest manufacturer of solar PV modules in India, with a total installed capacity of 12 gigawatts (GW).
3. Business Focus: The company aims to provide high-quality, sustainable energy solutions and reduce carbon emissions since 2007.
4. Subsidiaries: Waaree Energies has twelve direct subsidiaries and three step-down subsidiaries, focusing on various aspects of the solar energy market.
5. Manufacturing Facilities: The company operates five manufacturing plants in India, covering a total area of 143.01 acres.
6. Products: Their product range includes different types of PV modules, such as flexible bifacial modules and monocrystalline and multicrystalline modules.
7. Financial Growth: Between March 31, 2023, and March 31, 2024, Waaree Energies saw a 70% increase in revenue and a 155% rise in profit after tax.
8. Risks: The company relies on key clients, and losing any could hurt its business. Its retail sales depend on partnerships with franchisees, and failure to grow this network may negatively impact its financial performance.
9. Anchor Investor Lock-In: There will be a lock-in period for shares allotted to anchor investors. Half of these shares will be locked for 90 days, while the rest will be locked for 30 days after allotment.
10. Factors Affecting Performance: The company’s results can be influenced by several factors, including capacity expansion, export sales, regulatory changes, prices of solar PV modules, and competition.

Investors should keep these points in mind before considering the Waaree Energies IPO.