The Initial Public Offering of ACME Solar Holdings Limited was subscribed 39% on the first day of bidding.
The issue received bids of 2,27,05,659 shares against the offered 5,82,03,223 equity shares, at a price band of ₹275-289, according to the data available on the stock exchanges.
Retail Portion was subscribed 1.19 times Non-Institutional Investors Portion and Employee Portion were subscribed 0.32 times and 0.60 times respectively, whereas Qualified Institutional Buyer Portion was subscribed 0.15 times. The issue kicked off for subscription on Wednesday, November 06, 2024, and will close on Friday, November 08, 2024.
A day before its issue opening, ACME Solar Holdings Ltd raised Rs 1300.50 crores from anchor investors. Foreign and Domestic Institutions who participated in the anchor amongst others were Nippon MF, HDFC MF, ICICI Prudential MF, Abu Dhabi Investment Authority, TATA MF, Mirae MF, HSBC Global Investment Fund , SBI Life Insurance, ICICI Prudential Life Insurance, BNP Paribas Energy Transition Fund, BNP Paribas Funds Emerging Markets Climate Solutions, TT Emerging Market Fund, Bandhan MF, East Spring Investments, Manulife Global, Invesco India Equity Fund, Value Quest, Baroda BNP MF, SBI General, Abakkus Fund, Fiera Capital, Kotak Mahindra Life, Lion Global Fund, Edelweiss MF, Canara HSBC Life, Edelweiss Life Insurance.
Leading brokerage firms like SBI Securities, Bajaj Broking, CanMoney, Arihant Capital Limited, BP Equities, Ventura Securities, GEPL Capital, Master Trust Broking & Investment, Swastika Investmart, Marwadi Financial Services have given a “Subscribe” rating to the issue highlighting company’s strong position in the renewable energy sector, supported by a diverse portfolio that includes solar, wind, hybrid, and FDRE projects. The company’s in-house engineering and maintenance capabilities enhance efficiency and cost management, driving reliable performance. ACME’s growing capacity, with an operational portfolio of 1,340 MW and a total pipeline of 6,320 MW, positions it well for future revenue growth as projects come online. Financially, ACME has shown impressive growth, with a significant rise in PAT and a strong ROE of 38.83% for FY24. The IPO’s valuation metrics, such as P/E and EV/MW, are seen as relatively attractive compared to peers, making it a potentially good for long-term investors.
Nuvama Wealth Management Limited, ICICI Securities Limited, JM Financial Limited, Kotak Mahindra Capital Company Limited, and Motilal Oswal Investment Advisors Limited are the book-running lead managers, and KFin Technologies Limited is the registrar of the issue.