Waaree Energies IPO: GMP rises on final day, check subscription details

The initial public offering (IPO) of Waaree Energies continued to garner solid response on the third and final day of bidding on Wednesday, with the issue being subscribed more than 30 times.
As per data from the Bombay Stock Exchange (BSE), investors bid for 64.35 crore shares, reflecting an oversubscription of 30.53 times compared to the 2.10 crore shares on offer as of 2 pm on the last day.
The non-institutional investor (NII) portion was subscribed 42.39 times, while qualified institutional buyers (QIBs) saw 11.20 times subscription. The employee category was subscribed 3.77 times, while the retail segment received bids 7.91 times its allocation.
Waaree has reserved Rs 65 crore worth of shares for its employees and allocated 50% of the offer for QIBs, 15% for NIIs, and 35% for retail investors. The company is also active in solar project development, offering EPC services such as design, procurement, installation, and maintenance, with a strong sales and service network across India.
Founded in 1990 and based in Mumbai, the company is a leading Indian manufacturer of solar photovoltaic (PV) modules with an installed capacity of 12 GW. Its product portfolio includes multicrystalline PV modules used in solar energy systems.
It may be noted that shares are being offered in a price range of Rs 1,427-1,503 per share, with investors required to apply for a minimum of nine shares or multiples thereof. The company aims to raise Rs 4,321.44 crore, which includes Rs 3,600 crore from fresh issues and up to 48 lakh equity shares through an offer-for-sale (OFS).
GMP AND BROKERAGE VIEWS
The grey market premium (GMP) for Waaree Energies suggests a potential listing gain of nearly 95%, with the company commanding a premium of Rs 1,415 in the unofficial market.
Brokerages remain optimistic about the issue, recommending a “subscribe” rating based on the company’s strong financials, increasing demand for solar power, and reasonable valuations. However, concerns around dependence on China for raw materials and limited supplier options remain.
Motilal Oswal highlighted Waaree’s leadership in the solar module market and projected the company’s strong position, driven by global demand for solar energy and favorable government policies. They recommended subscribing for potential listing gains.
At the higher price band, Waaree is seeking an EV/sales ratio of 3.3x, which is considered favorable compared to its peers. With pro-renewable energy regulations and government support, the solar manufacturing industry is set to expand. Waaree’s strategy of backward integration—producing its own solar cells for internal use—is expected to boost profit margins.
Brokerage firm Choice Broking also issued a “subscribe” rating, noting the company’s ability to capitalize on growing solar demand, further enhanced by its backward integration plans. Analysts at Anand Rathi echoed these sentiments, citing Waaree’s market position, solid financials, and government-backed renewable energy initiatives as factors driving future growth.
The IPO is being managed by Axis Capital, IIFL Securities, Jefferies India, Nomura Financial Advisory, SBI Capital Markets, Intensive Fiscal Services, and ITI Capital, with Link Intime India serving as the registrar.