Upcoming IPOs to Watch: Waaree Energies, Deepak Builders, and Godavari Biorefineries Lead the Market Next Week

Next week is expected to be busy for the primary stock market with the high-profile IPO of Waaree Energies, along with two other mainboard IPOs from Deepak Builders and Godavari Biorefineries. Additionally, five SME companies will also launch their IPOs.

Several IPOs, including Hyundai India, are also scheduled for listing next week, adding to the market buzz.

The second half of the year looks promising for IPOs, with 26 companies ready to raise Rs 72,000 crore, awaiting approval from SEBI. Another 55 companies, looking to raise Rs 89,000 crore, are awaiting regulatory clearance. If things go smoothly, it could be a record-breaking year for IPOs, according to Pranav Haldea from PRIME Database Group.

Waaree Energies IPO

Waaree Energies’ IPO will be open for subscription from October 21 to October 23, with a price range set at Rs 1,427 to Rs 1,503 per share. Market experts predict a strong debut for this company, thanks to high demand.

The company plans to use the funds from the IPO to set up a 6-gigawatt manufacturing facility for solar ingots, wafers, cells, and modules in Odisha. Waaree Energies is the largest solar PV module manufacturer in India, with a capacity of 12 GW as of June 2024.

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

Deepak Builders IPO

The IPO of Deepak Builders, an engineering and construction company, will also be open from October 21 to October 23. The price range is between Rs 192 and Rs 203 per share. The IPO will consist of a fresh equity issue of Rs 217 crore and an offer-for-sale of 21 lakh shares.

About 50% of the shares are reserved for institutional buyers, 35% for retail investors, and 15% for non-institutional investors. The company will use Rs 95 crore from the IPO for working capital, Rs 30 crore for debt repayment, and the rest for general corporate purposes.

Deepak Builders specializes in the construction of various facilities, including hospitals, industrial buildings, and stadiums.

Godavari Biorefineries IPO

Godavari Biorefineries will launch its IPO with a price range of Rs 334 to Rs 352 per share, starting on October 23. The IPO, valued at Rs 555 crore, will close on October 25, with anchor bidding starting on October 22. The allotment will be finalized on October 28, followed by the stock listing on October 30.

This IPO consists of a fresh issue worth Rs 325 crore and an offer-for-sale of 6.53 million shares by existing shareholders. Proceeds from the fresh issue will go towards repaying Rs 240 crore of debt, with the remaining funds used for general corporate purposes. As of June 2024, Godavari Biorefineries had a consolidated debt of Rs 748.9 crore.

The IPO is being managed by Equirus Capital and SBI Capital Markets, with Link Intime India serving as the registrar.

IPO Pipeline

With a robust IPO pipeline for the rest of the year, investors are eagerly watching the market. A total of 81 companies are planning to raise over Rs 1.61 lakh crore, subject to SEBI’s approval.