Waaree Energies shares listing: Scrip debuts with whopping gains

Waaree Energies shares on expected lines made a strong debut on the bourses today.  On the BSE, the stock against the IPO issue price of Rs 1,503 listed at a price of Rs 2550, a nearly 70 per cent premium. However, on the NSE, the stock listed at Rs 2,500 apiece, a premium of 66.33 per cent.

Following a stellar debut, Waaree Energies’ share price experienced a pullback, dropping almost 4 per cent on the NSE to Rs 2,402 at 10:06 IST. On the BSE, the stock saw a sharper decline, down over 7 per cent at Rs 2,360.30. 

The issue having garnered a record-breaking response from investors IPO was open for subscription from October 21 to October 23, raised Rs 4,321.44 crore. It included a fresh issue of 2.4 crore shares worth Rs 3,600 crore and an offer for sale (OFS) of 48 lakh shares, totalling Rs 721.44 crore. Set in a price band of Rs 1,427 to Rs 1,503 per share, the issue witnessed an extraordinary demand, resulting in an oversubscription rate of 76.34 times. Investor interest was driven by Waaree Energies' strong position in the solar sector and rising demand for renewable energy solutions.

According to industry experts, with its shares expected to trade from 10:00 AM in the Special Pre-open Session (SPOS), the listing is anticipated to deliver on investor expectations for listing gains.

Anil Singhvi's pre-listing view on Waaree Energies 

Market veteran Anil Singhvi expressed optimism about Waaree Energies’ market debut. "The substantial investor interest we are witnessing aligns with Waaree’s growth trajectory, making it a notable debutant on the bourses. Investors may consider holding the stock with a stop-loss strategy of around Rs 2,600, allowing for-profit booking as valuations evolve post-listing," Singhvi suggested.

Investor outlook and post-listing strategy

With a strong investor base built during the IPO phase, Waaree Energies’ stock is expected to deliver solid listing gains. Shivani Nyati, Head of Wealth at Swastika Investmart, highlighted that “Waaree Energies’ overwhelming response and the substantial funds raised underscore its growth potential. Long-term investors could find considerable value here, given the company’s position in the renewable space and rising demand for solar solutions in India.” Nyati also advised short-term investors to consider booking partial profits should the stock see a substantial surge on listing day.

Key data points for investors

- Subscription numbers: Waaree Energies' IPO attracted bids worth over Rs 2.41 lakh crore, underscoring significant interest from all investor categories.
- Category subscriptions: The IPO received 10.79 times in the Retail segment, 62.49 times in Non-Institutional Investors (NII), and 208.63 times in the Qualified Institutional Buyers (QIB) category.
- Lead Managers: Axis Capital, IIFL Securities, Jefferies India, Nomura Financial Advisory, SBI Capital Markets, Intensive Fiscal Services, and ITI Capital Ltd managed the issue.

Waaree Energies' listing today is poised to reflect its substantial demand and growth potential, making it a noteworthy event for market watchers and renewable energy enthusiasts alike.

Investors are encouraged to remain cautious about market volatility but can view this listing as a strong entry into India’s green energy transition.