Saatvik Green Energy shares disappoint at D-st debut; stock list at discount on BSE

Shares of Saatvik Green Energy made a muted stock market debut on Friday, September 26 as the stock was listed at Rs 460 on BSE, a discount of 1.08 per cent over its issue price of Rs 465 apiece. However, the manufacturer of modules and offers EPC solutions kicked-off its maiden trading session at par, that is issue price, on NSE.

Investors of Saatvik Green Energy made a loss of Rs 160 on each lot, worth Rs 14,880 as of listing price. However, the listing of Saatvik Green has been below expectations. Ahead of its debut, shares of Saatvik Green were commanding a grey market premium (GMP) of Rs 10-12 per share, suggesting flat listing for the investors.

The IPO of Ambala-based Saatvik Green Energy ran for bidding between September 19 and September 23. It had offered its shares in the price band of Rs 442-465 per share with a lot size of 32 shares. The company raised a total of Rs 900 crore via IPO, which included a fresh share sale of 700 crore and offer-for-sale (OFS) of up to Rs 200 crore.

The issue was overall subscribed only 6.57 times fetching nearly 5.27 lakh applications. The allocation for the qualified institutional bidders (QIBs) was subscribed 10.84 times, while the portion for non-institutional investors’ (NIIs) was subscribed 10.04 times. However, employees and retail investors’ quota was booked at 5.29 times and 2.66 times, respectively.

Incorporated in 2015, Saatvik Green Energy is the manufacturer of modules and offers engineering, procurement and construction (EPC). It offers a comprehensive portfolio of solar module products that are currently manufactured using technologies that help reduce energy loss and enhance overall efficiency.

Brokerage firms were mostly positive on the issue, suggesting to subscribe to it. DAM Capital Advisors, Motilal Oswal Investment Advisor and Ambit were the book running lead managers for the Saatvik Green Energy IPO and Kfin Technologies was the registrar of the issue.