Powerica IPO: The initial public offering (IPO) of Powerica will open for public subscription on Tuesday, March 24. The book build issue of about ₹1,100 crore will remain open till Friday due to the market holiday on Thursday.
Powerica is an integrated power solutions provider company. It specialises in diesel generator sets for primary as well as standby applications. The company manufactures diesel generator sets along with auxiliary items, including acoustic enclosures, fuel and exhaust systems, and customised control panel systems.
Meanwhile, the grey market premium (GMP) of Powerica shares indicates the stock may see a muted listing on the BSE and the NSE.
Powerica IPO GMP
According to grey market sources, the Powerica IPO GMP on Monday morning was ₹4. With the upper price band of the issue at ₹395 per share, based on the last GMP, Powerica shares will likely debut at ₹399, a premium of just 1%.
Powerica IPO key details
1. Powerica IPO price band: The issue’s price band has been set at ₹375 to ₹395 per share.
2. Powerica IPO date: The book build IPO is opening for subscription on Tuesday, March 24, and will conclude on Friday, March 27.
3. Powerica IPO size: The IPO combines a fresh issue of 1.77 crore shares and an offer for sale (OFS) of 1.01 crore shares. From the fresh issue of shares, the company intends to raise up to ₹700 crore, while the OFS portion is expected to generate up to ₹400 crore.
4. Powerica IPO reservation: As much as 50% of the net issue is reserved for qualified institutional buyers (QIBs), and 15% of the net issue is reserved for non-institutional investors (NIIs). The remaining 35% is reserved for retail investors.
5. Powerica IPO lot size: The IPO lot size is 37 shares. The minimum lot size for a retail investor is one lot. With the issue’s upper price band at ₹395, the minimum amount of investment required by retail investors is ₹14,615. The maximum lot size for retail investors is 13 for ₹1,89,995.
6. Powerica IPO book-running lead managers and registrar: ICICI Securities, IIFL Capital Services, and Nuvama Wealth Management are the book-running lead managers of the issue, while MUFG Intime India Private Limited is the registrar of the Powerica IPO.
7. Powerica IPO allotment date and listing date: The issue is closing on Friday. So, the share allotment of the company is expected to be finalised on the next business day on Monday, March 30. Successful bidders can expect the shares in their demat accounts on the next business day on Wednesday, April 1, as March 31 is a stock market holiday. Those who fail to get the subscription will receive a refund on Wednesday. The stock is proposed to list on Thursday, April 2.
8. Objects of the offer: The company intends to utilise the net proceeds from the fresh issue of shares for the payment of certain borrowings and for general corporate purposes.
9. Powerica IPO valuations: According to Beacon Capital Advisors, “At ₹395, the stock trades at 28.43 times PE and 3.96 times PB, implying a moderately premium valuation, with growth expectations largely priced in despite steady industry demand.”
10. Powerica financial performance: As per the Red Herring Prospectus (RHP) of the issue, the company’s total comprehensive income in FY23 was ₹105.64 crore, in FY24 ₹225.74 crore, and in FY25 ₹ 166.12 crore. For six months in FY26, the company’s profit was ₹127.79 crore.
Revenue from operations in FY23, FY24, and FY25 were ₹2,378.26 crore, ₹2,210 crore, and ₹2,653.27 crore, respectively. For the first six months of FY26, the company’s revenue from operations stood at ₹1,447.44 crore.
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
