GRE Renew Enertech IPO Achieves Full Subscription on Opening Day with Strong QIB Demand
GRE Renew Enertech's ₹39.56 crore SME IPO achieved full subscription on its first day with 1.04x overall subscription, driven primarily by strong QIB demand at 3.52x subscription. The solar energy solutions provider, operating through Capex and RESCO models, has priced its shares at ₹100-105 with a minimum investment of ₹2,52,000. With a current grey market premium of ₹7, the estimated listing price is ₹112, scheduled for January 21 on BSE SME.
*this image is generated using AI for illustrative purposes only.
GRE Renew Enertech's SME initial public offering achieved full subscription on its opening day, demonstrating strong investor interest in the solar energy solutions provider. The ₹39.56 crore public issue opened for subscription on Tuesday, January 13, and will remain open for bidding until Friday, January 16.
Strong Institutional Demand Drives Subscription
The IPO recorded impressive subscription numbers on the first day, achieving 1.04 times subscription as of 2:50 pm on Tuesday, according to BSE data. The subscription pattern revealed significant institutional appetite, with different investor categories showing varying levels of interest.
| Investor Category | Subscription Rate |
|---|---|
| Qualified Institutional Buyers (QIBs) | 3.52 times |
| Non-Institutional Investors (NIIs) | 0.08 times |
| Individual Investors | 0.19 times |
The QIB category emerged as the primary driver of demand, substantially oversubscribing their allocated portion, while retail and non-institutional segments remained undersubscribed on the opening day.
Business Model and Operations
GRE Renew Enertech specializes in delivering solar energy solutions for industrial and commercial clients through comprehensive on-site solar project installations. The company operates through two distinct business segments that cater to different client requirements and investment preferences.
Under the Capital Expenditure (Capex) segment, the company provides comprehensive end-to-end services including engineering, procurement, construction, and operation of solar installations. The Renewable Energy Service Company (RESCO) model involves entering into agreements with rooftop owners to develop and operate solar projects, offering an alternative financing and operational structure.
IPO Structure and Investment Details
The book-built issue comprises entirely of fresh equity shares, with no offer for sale component. The company has set the price band between ₹100 and ₹105 per share, making it accessible to a broad range of investors.
| IPO Parameter | Details |
|---|---|
| Issue Size | ₹39.56 crore |
| Fresh Issue | 0.38 crore equity shares |
| Price Band | ₹100 - ₹105 per share |
| Lot Size | 1,200 shares |
| Minimum Investment | ₹2,52,000 (2,400 shares) |
Investors can apply in lots of 1,200 shares, with the minimum retail investment requirement set at ₹2,52,000 for 2,400 shares at the upper end of the price band.
Grey Market Performance and Timeline
The shares are currently trading at a premium of ₹7 in the grey market, according to Investorgain, representing the current Grey Market Premium (GMP). This premium decreased from the pre-opening level of ₹9, suggesting some moderation in unofficial market expectations.
Based on the current GMP, the estimated listing price stands at ₹112, which represents a 6.67% premium over the upper price band of ₹105. The allotment process is scheduled to be finalized on January 19, with the company's shares expected to list on the BSE SME platform on January 21.
Issue Management
The IPO has appointed experienced intermediaries to manage the public offering process. Share India Capital Services Pvt. Ltd. serves as the book-running lead manager, while Maashitla Securities Pvt. Ltd. has been appointed as the registrar to the issue. Share India Securities Ltd. will function as the market maker post-listing.
19
