Vikram Solar is all set to make its Dalal Street debut, with the listing date fixed for Tuesday, August 26. After the IPO allotment was finalised on Friday, August 22, shares are being credited to demat accounts today, while refunds for those who missed out are also being processed on Monday, August 25.
Let’s take a look at the key things to watch out for ahead of its listing tomorrow –
Vikram Solar IPO: Subscription numbers strong
The solar module maker opened its IPO for bidding between August 19 and August 21. By the end of the three-day window, the Vikram Solar IPO had seen strong interest across investor categories.
Breaking it down, the Qualified Institutional Buyers (QIBs) led the pack with a 142.79 times subscription. This was followed by Non-Institutional Investors (NIIs) at 50.90 times, while retail investors subscribed 7.65 times.
On the final day of bidding, overall demand for the issue stood at 54.63 times, as per NSE data.
Vikram Solar IPO: Who got how much?
Like most mainboard offerings, the allocation was divided across investor classes. Not more than 50% of the issue was reserved for QIBs, while at least 35% went to retail investors. Another 15% was placed for NIIs, and the employee quota carried equity shares worth up to Rs 100 million.
Vikram Solar IPO: Grey market signals ahead of listing
In the unofficial market, Vikram Solar’s shares ahead of its official listing tomorrow have been trading at a grey market premium (GMP) of Rs 41.
Based on this, the share of the company is expected to list around Rs 373 per share. This is about 12.35% higher than the issue price of Rs 332.
Looking at the grey market trends of the IPO over the last two weeks, it has showed a wide fluctuations. The issue’s premium ranges from Rs 0 to Rs 69. However, this is not the official listing price and may fluctuate based on the market sentiment.
Vikram Solar IPO: About the IPO structure
A mainboard issue, Vikram Solar IPO comprised a fresh issue of 4.52 crore shares worth Rs 1,500 crore, and an offer for sale (OFS) of 1.75 crore shares amounting to Rs 579.37 crore.
The selling shareholders included promoters Gyanesh Chaudhary, Vikram Capital Management, and Anil Chaudhary.
Furthermore, the proceeds from the fresh issue will be used to fund capital expenditure for the company’s ongoing projects, while the OFS portion will go directly to the selling shareholders.
Vikram Solar IPO: Promoter holding and management
Prior to the opening of the IPO, the promoters controlled 77.64% of the company, while the rest of the shares were held by the public, including Arpit Khandelwal of Plutus Wealth Management.
Post listing, this holding pattern will undergo changes in line with the dilution. JM Financial acted as the lead manager to the issue, and MUFG Intime India handled registrar responsibilities.