The NTPC Green Energy IPO subscription stands at 1x as of the third and final day of bidding, indicating that the issue has been fully subscribed. The details of category-wise subscription rates are as follows:
- Qualified Institutional Buyers (QIBs): 0.75x subscribed
- Non-Institutional Investors (NIIs): 0.39x subscribed
- Retail Individual Investors (RIIs): 2.63x subscribed
- Employee Reserved: 0.49x subscribed
- Shareholders: 1.12x subscribed
The IPO opened on November 19, 2024, and will close today, November 22, 2024. The IPO price band is set at ₹108 per share.
Subscription Highlights
- Retail Investors: Strong demand with over 2.5x subscription, showcasing significant retail participation.
- QIBs and NIIs: Underwhelming response from institutional buyers as both categories remained undersubscribed.
- Employee Category: Marginal participation with less than half the allocated shares subscribed.
- Shareholder Category: Fully subscribed with a modest demand above allocation.
Broker and Analyst Insights
- Fair Pricing: Analysts, including Geojit, note that the IPO is fairly priced at a P/Bv of 4.9x (FY25E), making it an attractive proposition for investors with a long-term perspective.
Key Takeaways
- On Day 2, the IPO had reached a 93% subscription rate, indicating steady interest from investors.
- The company is a state-owned subsidiary of NTPC Ltd., focusing on renewable energy, making it a significant player in India’s green energy transition.
