Premier Energies IPO shares can become a multibagger on its listing today

IPO : Premier Energies’ stock is expected to have a robust Dalal Street debut on Tuesday, September 3, and it has the potential to become a multibagger after listing. Based on the issue’s grey market premium, Premier Energies is probably going to quadruple investors’ money upon listing.

Premier Energies shares were trading at a Grey market premium (GMP) of Rs 500–505 per share above the issue price before to listing, which gave investors hope for a stellar listing pop of more than 110%. Since the issue’s conclusion, the premium in the unofficial market has stayed over 100%.

Premier Energies is about to make a spectacular debut on the stock market. According to Shivani Nyati, Head of Wealth at Swastika Investmart, “the IPO has garnered immense investor interest, evidenced by a staggering subscription of 75 times and a sky-high grey market premium.”

“Although the solar manufacturing industry remains competitive, Premier Energies’ strategic positioning and focus on innovation differentiate it,” she said. Thanks to its solid fundamentals, enthusiastic investor base, and advantageous market circumstances, Premier Energies is well-positioned for an exceptional listing.

Premier Energies had an initial public offering (IPO) from August 27 to August 29. With a lot size of 33 shares, the Telangana-based business issued its shares at a fixed price range of Rs 427–450 per share. Through its primary offering, which comprised a new share sale of Rs 1,291.40 crore and an offer to sell 3.42 crore shares, it raised about Rs 2,830.40 crore.

Premier Energies proved to be a historically significant problem in terms of subscriber acquisition. Bids of around Rs 1.49 lakh crore were received for the issuance, with a quota of Rs 1.20 lakh crore going to institutional investors. The issue was subscribed to 74.38 times total and witnessed strong bidding.

Due to the company’s solid fundamentals and considerable investor interest, Premier Energies’ shares might list strongly higher. Master Capital Services said.

“On the back of reasonable valuation, the company’s ability to take advantage of the market demand for renewable energy, and the chance to invest in India’s second-largest integrated solar cell and module manufacturer, there has been a significant increase in investor demand,” it said.

The qualified institutional bidders’ (QIBs’) quota was filled a remarkable 216.67 times on an individual basis. A staggering 50.04 times as many people subscribed to the non-institutional investor quota. During the bidding procedure, bids were placed on the sections designated for workers and retail investors 11.43 times and 7.69 times, respectively.

According to Akriti Mehrotra, Research Analyst at Stoxbox, Premier Energies is likely to list with a premium of 110–120 percent, making a great market debut. Citing the company’s strong fundamentals, she advised investors to think about keeping their shares for the medium to long term.

Solar panels and integrated solar cells are produced by Premier Energies. Cells, solar modules, monofacial modules, bifacial modules, EPC solutions, and O&M solutions are among the products in its portfolio. The firm was founded in April 1995 and is based in Hyderabad, Telangana, with five production facilities.

Brokers generally expressed optimism about the matter and advised investors to sign up for a long-term subscription. The registrar for the Premier Energies IPO was Kfin Technologies, while the book running lead managers were Kotak Mahindra Capital, ICICI Securities, and JP Morgan India.