Three Major Listings Also Set to Take Place, Including Hyundai Motor India
Despite the ongoing correction in the equity markets, the momentum in the primary market remains strong, with nine Initial Public Offerings (IPOs) worth nearly Rs 11,000 crore set to launch next week, starting from October 21. Both the mainboard and SME segments are gearing up for a flurry of activity, and three companies, including Hyundai Motor India, are scheduled for listing.
While the benchmark indices—Nifty 50 and BSE Sensex—have experienced corrections for three consecutive weeks, experts believe that this is a short-term trend. The Nifty 50 has dropped by 5.4%, and the Sensex has dipped by 5.9% from their record highs. However, market analysts remain optimistic about the stability of growth and capital expenditure, forecasting a continued robust flow of IPOs in the coming years.
Waaree Energies IPO: A Key Offering in the Solar Energy Sector
One of the most highly anticipated IPOs next week is from Waaree Energies, which will open for subscription on October 21. The solar photovoltaic module manufacturer is seeking to raise Rs 4,321 crore through this public issue, which consists of a fresh issue of Rs 3,600 crore and an Offer-for-Sale (OFS) of 48 lakh shares worth Rs 721.44 crore. Promoters Waaree Sustainable Finance and Chandurkar Investments will be offloading their shares in the OFS.
Waaree Energies, a competitor to listed peers like Premier Energies and Websol Energy, has already raised Rs 1,277 crore through an anchor book on October 18. The IPO will close on October 23, with a price band of Rs 1,427-1,503 per share.
Deepak Builders & Engineers: Infrastructure Sector IPO
Another significant public issue in the infrastructure sector comes from Deepak Builders & Engineers India, which will also open for subscription between October 21 and October 23. The construction company aims to raise Rs 260 crore, with a price band of Rs 192-203 per share. This offering includes a fresh issue of 1.07 crore equity shares worth Rs 217.21 crore and an OFS by promoter Deepak Kumar Singal and his wife Sunita Singal, who are selling 21.1 lakh shares worth Rs 42.83 crore.
Deepak Builders & Engineers India raised Rs 78 crore from five anchor investors prior to the IPO, ensuring a solid start to its public offering.
Godavari Biorefineries: Leading Ethanol-Based Chemicals Manufacturer
Godavari Biorefineries, known for its ethanol-based chemicals, will launch its Rs 555-crore IPO on October 23, with a price band of Rs 334-352 per share. The offering consists of a fresh issue of Rs 325 crore and an OFS of 65.26 lakh shares worth Rs 229.75 crore by promoters and investor Mandala Capital AG. The private equity firm Mandala Capital AG will exit by selling its entire 49.26 lakh shares in the company. The issue will close on October 25.
Afcons Infrastructure: Largest IPO of the Week
The largest IPO of the week comes from Afcons Infrastructure, a Shapoorji Pallonji Group company, which will open for subscription on October 25. Afcons aims to raise Rs 5,430 crore through a mix of fresh issue and OFS. The company is targeting Rs 1,250 crore from the fresh issue and Rs 4,180 crore from the OFS. Goswami Infratech, which raised Rs 3,000 crore in a pre-IPO round last week, will be the sole selling shareholder in the OFS. The price band will be announced on October 21.
SME Segment IPOs: Premium Plast and Danish Power Lead the Charge
Several IPOs from the SME segment will also hit the market next week. Premium Plast, which manufactures automotive and industrial plastic parts, will launch a Rs 26-crore IPO on October 21 with a price range of Rs 46-49 per share. The offering consists of a fresh issue of 53.46 lakh equity shares and will close on October 23.
Danish Power, a transformer manufacturer, will open its Rs 197.90-crore IPO on October 22, targeting Rs 360-380 per share. This will be the largest IPO in the SME segment next week, with the issue closing on October 24.
Other SME IPOs include United Heat Transfer (Rs 30 crore), OBSC Perfection (Rs 66 crore), and Usha Financial Services (Rs 98.45 crore), all of which will open for subscription between October 22 and October 24.
Key Listings Next Week: Hyundai Motor India Set to Debut
Among the key listings next week is Hyundai Motor India, which will debut on October 22 following its mega IPO of Rs 27,870 crore. The issue was heavily subscribed by qualified institutional buyers but saw lower demand from retail and non-institutional investors. Analysts expect a flat to negative listing performance.
In the SME segment, Lakshya Powertech will list on October 23 after being oversubscribed more than 550 times, while Freshara Agro Exports will debut on October 24.
IPO Market Set for a Busy Week
The upcoming week promises to be a bustling one for the primary market, with nine IPOs offering a wide array of investment opportunities across sectors like solar energy, infrastructure, ethanol-based chemicals, and automotive plastics. Despite short-term market corrections, investor sentiment remains positive, indicating a strong IPO season ahead.
(With inputs from agencies)
