The much-anticipated IPO of ACME Solar Holdings is here, with the market now opened with great momentum due to the ₹60 hike of Grey Market Premium. Now quite evidently, it is being proven that there is an interest as well as confidence among the investors toward the growth prospects of the renewable energy portfolio for the company ACME Solar. The IPO, a book-built issue, is priced at ₹2,900 crore and will be one of the larger offerings to hit the Indian stock market in recent months.
The IPO will be constituted of two constituents, with a fresh issue of 8.29 crore equity shares amounting to ₹2,395 crore and the OFS comprising 1.75 crore shares to the tune of ₹505 crore. India’s very own ACME Solar priced its shares in a wide range of ₹275-₹289. It expects to attract both retail as well as institutional buyers through this strategically defined price band.
ACME Solar Holdings is the company that is credited with spearheading the development of solar energy infrastructure in India, and a high GMP indicates the optimism of investors regarding its long-term prospects. This optimism coincides with the larger thrust toward renewable energy that India has undertaken and the emphasis the government places on clean energy sources. Analysts claim that the GMP for ACME Solar Holdings has risen due to the company’s sound financial performance and strategic positioning in an industry with high growth potential.
The IPO will be open for subscription till November 8, 2024. Some of the key investment benchmarks are as follows: Retail investors have to apply with a minimum of 51 shares, which would translate to a minimum investment of ₹14,739. In the case of larger investors, sNII requires a minimum application of 714 shares, which amounts to about ₹206,346, and bNII requires a minimum of 3,468 shares worth around ₹1,002,252. These tiered investment options give potential investors with varied budgets access to the IPO.
As far as timelines are concerned, ACME Solar Holdings should be declaring share allotments on or before November 11, 2024. Now, in case all has gone to plan, ACME Solar’s shares should hit both the Bombay Stock Exchange and the National Stock Exchange on November 13, 2024. Going by listing, it should be the next move to get ACME Solar’s footing to attract investment to be able to pour their funds into India with interest towards expansion of the latter’s renewable energy.
According to IPO trackers, ACME Solar Holdings will contribute significantly to the renewable energy sector listings at Indian exchanges. Other active players in clean energy enterprises like ACME Solar Holdings are being steadily favored by investors who have a taste for leadership growth trajectories. An increased demand, hence reflected in the GMP, suggests that the firm’s fundamentals resonate with what investors expect to see across the sector critical to the energy strategy of India in the future.
Companies like ACME Solar are poised to lead the charge as attention toward renewable energy increases, with India pursuing ambitious sustainability goals. Even after closing the IPO on November 8, 2024, investor demand could increase for other clean energy plays on the stock exchange over the coming days.
Source: PTI