Waaree Energies Limited IPO: Issue dates, price, and lot size

Incorporated in December 1990, Waaree Energies Limited has established itself as a leading Indian manufacturer of solar photovoltaic (PV) modules, with an installed capacity of 12 GW. The company's product lineup includes multicrystalline, monocrystalline, and TopCon modules, catering to various solar energy requirements.

With four manufacturing facilities across Gujarat, Waaree Energies aims to make a significant mark on the renewable energy sector. Now, with its upcoming IPO, the company seeks to capitalise on the growing demand for solar energy and expand its manufacturing capabilities.

In this blog, we’ll explore Waaree Energies Limited IPO details, the company’s background, financial performance, competitive strengths, challenges, and whether the IPO investment could be a good opportunity.

Waaree Energies Limited IPO details

Waaree Energies Limited IPO offers a fresh issue of approximately 28.75 million shares, with a total issue size of ₹4,321.44 crores. The price band is set between ₹1,427 and ₹1,503 per share. Investors can subscribe between October 21 and October 23, 2024, with a minimum lot size of 9 shares. Below are the key details regarding the IPO.

Waaree Energies Limited IPO timeline

The timeline for the Waaree Energies Limited IPO is clearly outlined. Opening for subscription on October 21, 2024, it will close on October 23, 2024. The basis of allotment is scheduled for October 24, 2024, with refunds initiated on October 25, 2024. 

Waaree Energies Limited IPO review

Founded in December 1990, Waaree Energies Limited is a prominent solar PV module manufacturer in India. The company offers a diverse range of products, including:

• Multicrystalline modules
• Monocrystalline modules
• TopCon modules, which include flexible bifacial modules (Mono PERC), framed and unframed options, and building-integrated photovoltaic (BIPV) modules.

Waaree Energies operates four advanced manufacturing facilities on 136.30 acres in Gujarat. The company serves a broad customer base both within India and globally, reflecting its extensive reach in the solar energy market.

Waaree Energies Limited financials

The financials of Waaree Energies Limited reflect its impressive growth trajectory over recent years. The company has steadily expanded its revenue base and strengthened its balance sheet, positioning itself as a key player in the solar energy sector.

Waaree Energies Limited IPO highlights: Strengths

1. Largest solar PV module manufacturer in India: Waaree Energies is the leading player in the solar PV module manufacturing industry in India, which gives it a significant competitive advantage in terms of scale and market reach.
2. Diverse customer base: The company has a broad customer network, serving both Indian and international markets. This diversification helps mitigate risks associated with market-specific downturns.
3. State-of-the-art manufacturing facilities: Waaree Energies’ manufacturing plants are equipped with cutting-edge technology, global accreditations, and safety certifications, ensuring high-quality production standards.
4. Pan-India retail network: The company’s extensive retail network across India supports its sales and distribution, enhancing its market penetration.
5. Strong financial track record: Over the years, Waaree Energies has demonstrated stable financial growth, which can be a positive indicator for potential investors considering IPO investment.
6. Experienced management team: The leadership team’s expertise in the renewable energy sector provides strategic direction, driving the company’s growth and operational efficiency.

Waaree Energies Limited IPO highlights: Challenges

1. Intense market competition: The solar PV manufacturing industry in India is highly competitive, with several established players vying for market share. This competition could impact Waaree Energies’ pricing power and profit margins.
2. Dependence on government policies: The renewable energy sector is heavily influenced by government regulations and incentives. Any changes in policies supporting solar energy could affect the company's growth prospects.
3. Fluctuations in raw material prices: The cost of key raw materials, such as silicon and other components used in solar module manufacturing, is subject to price volatility, which could impact the company's profitability.
4. Export market risks: While the company serves international markets, global trade tensions or import-export restrictions could pose risks to its overseas sales.

Should you invest in the Waaree Energies Limited IPO?

Considering the IPO of Waaree Energies Limited offers a promising opportunity for investors seeking exposure to India's solar energy sector. As the largest solar PV module manufacturer in the country, the company benefits from advanced facilities, a strong retail network, and a solid financial track record, indicating long-term growth potential. However, it’s important to weigh risks, such as competition, reliance on government incentives, and raw material cost fluctuations. 

Reviewing the Waaree Energies Limited IPO GMP (grey market premium) can offer insights into market sentiment ahead of the listing. Thorough research and assessing personal risk tolerance are crucial steps before participating in this upcoming IPO to ensure it aligns with your investment goals.

FAQs

1. When does the Waaree Energies IPO open?

The Waaree Energies IPO opens on October 21, 2024, and will close on October 23, 2024.

2. When will the Waaree Energies IPO allotment be finalised?

The allotment of shares for the Waaree Energies IPO is set to be finalised on October 24, 2024. The allocated shares should appear in your demat account by October 25, 2024. 

3. What is the minimum lot size for Waaree Energies IPO?

The Waaree Energies IPO lot size consists of 9 shares, with a minimum investment requirement of ₹13,527.

4. When is the Waaree Energies IPO expected to list?

The official listing date is set for 28th October 2024.