IREDA IPO : Check out Public Issue, Face Value & Financials

The price band has been fixed in the range of Rs 30 to Rs 32 per equity share with the 67.19-crore shares IPO comprising a fresh issue of 40.32 crore equity shares. Investors can bid for a minimum of 460 equity shares in one lot and in multiples thereafter. The firm reported a 58 percent CAGR growth in net profit during FY21-FY23 and reported profit at Rs 864.63 crore in FY23. Profit was at Rs 294.6 crore in the first quarter of FY24.

Public sector enterprise Indian Renewable Energy Development Agency (IREDA) will be opening its maiden public issue for subscription on November 21. 

The anchor book will be launched for a day on November 20, while the offer will close on November 23. The price band for the offer will be announced this week.

Price Band & Face Value:

The price band has been fixed in the range of Rs 30 to Rs 32 per equity share of face value of Rs 10.

The 67.19-crore shares IPO comprises a fresh issue of 40.32 crore equity shares by the company and an offer-for-sale of 26.88 crore shares by the Government of India.

The non-deposit-taking non-banking finance company has reserved 18.75 lakh equity shares for its employees. The offer excluding the employee portion is the net issue.

Half of the net issue size or 50 per cent is reserved for qualified institutional buyers, and 15 percent for high networth individuals. And the remaining 35 percent shares of the net issue size are kept aside for retail investors.

IREDA IPO Issue Proceeds:

Indian Renewable Energy Development Agency Limited (IREDA) is a wholly owned Government of India enterprise under the administrative control of the Ministry of New and Renewable Energy (MNRE), according to the Red-herring prospectus (RHP).

The state-owned company will utilise net fresh issue proceeds mainly for augmenting its capital base to meet future capital requirements and onward lending.

Company Financials & Earnings:

The financial institution reported a 58 percent CAGR growth in net profit during FY21-FY23 and reported profit at Rs 864.63 crore in FY23. Profit was at Rs 294.6 crore in the first quarter of FY24.

IREDA will finalise the basis of allotment of IPO shares by November 28, and the equity shares will be credited to demat accounts of successful investors by November 29.

Merchant Bankers to the Issue:

IDBI Capital Markets & Securities, BOB Capital Markets, and SBI Capital Markets are the merchant bankers to the issue, while Link Intime India is the registrar to the offer.

Disclaimer:

The information provided in this blog post is for informational purposes only and should not be construed as investment or trading advice. The author is not a financial advisor and does not have any professional qualifications in this area. The author does not guarantee the accuracy or completeness of the information provided. Any action you take based on the information in this blog post is done at your own risk. Please consult with a financial advisor before making any investment decisions.