Premier Energies shares debuted at ₹990: 120% premium to the IPO price in NSE| STOCK MARKET NEWS

Premier Energies IPO was priced at ₹990 on NSE, with a 120% premium, as well as ₹991 on BSE. The ₹2,830.40 crore IPO received 75 times subscriptions, including 212.42 times from QIBs.

More of it below;

Premium Energies: IPO listing Today

Premier Energies, a developer of solar cells, made a strong stock market debut on Tuesday. The company’s shares were listed on the BSE at Rs 991, representing a massive 120.22 percent premium over the higher end of the issue price of Rs 450.

Premier Energies shares started at Rs 990 on the NSE, showing a premium of 120%.

Investors who received shares in the IPO experienced a post-listing profit of Rs 541 per share or more than 120 percent.

“As expected, with a robust subscription response, the offering met our expectations, as we considered appropriate valuations before listing. Well-positioned to leverage on industry demand for renewable energy, with a potential for making investments in India’s second-largest incorporated solar cell.

According to him, after a 120% listing profit, the valuation front has changed from appropriately valued to stretched prices, which would justify profit-booking activities at high levels. “We continue to recommend that conservative investors choose profit-booking, while risk-takers can continue holding for the long term, as the sector outlook remains optimistic,” according to Tapse. The organization’s strategic partnership with government measures boosting domestic solar output, combined with its diverse customer base and recognition as a top module reliability scorer predicts a bright future. Tapse believes that the market would value its leadership position at a premium in the long run.

Premier Energies IPO robust subscription

During the three days of bidding, the IPO had a strong response and was bid 75 times altogether. The issue got bids for 332.78 crore equity shares, with 4.41 crore shares on offer. Qualified institutional buyers (QIBs) subscribed 212.42 times, while employees subscribed 11.32 times. The non-institutional investors’ quota was subscribed 50.98 times, while the retail category got a subscription of 7.44 times.

Ahead of its stock market debut, Premier Energies shares were selling at a premium of Rs 487, or 108.22 percent, in the grey market, indicating high listing returns for investors.

Premier Energies IPO listing: Growth outlook

Premier Energies’ revenue from operations increased at a 42.71% CAGR from FY21 to FY23.

In FY24, revenue increased by 120% to ₹3,143 crore. The organization reported a profit of ₹231 crore, compared to a loss of ₹13.3 crore the previous year.

The company’s significant expenditures, including a new 4 GW TOPCon solar cell line, and rising return in capital employed (ROCE) from 3.6% in FY22 to 25.6% in FY24, highlight its strong market position.

Analyst review on Premier Energies IPO and listing

Analysts believe Premier Energies’ good listing performance is due to its strong fundamentals and potential for expansion in the fast-growing Indian solar energy market. With expanded manufacturing capacity and a focus on innovative technologies such as TOPCon cells, the organization is well-positioned to capitalize on the country’s expanding demand for solar electricity.

Premier Energies’ successful IPO and listing demonstrates the growing investor interest in renewable energy and the organization’s capacity to create value for its shareholders. Premier Energies is well-positioned to play an important part in India’s transition to a more sustainable energy future as the solar energy sector evolves.

 

If you wanna know more about PREMIER ENERGIES head over to our other article.

This text is written by Kashaf Muhammad

Leave a Comment