Shares of Indian Renewable Energy Development Agency (IREDA) made a remarkable stock market debut on Wednesday, listing with a premium of over 56 per cent, against the issue price of Rs 32.
The stock listed at Rs 50, up 56.25 per cent from the issue price on both the BSE and NSE. It further rallied 74 per cent to Rs 55.70 on both the benchmark indices.
The company commanded a market valuation of Rs 14,460.17 crore during the morning trade.
The Initial Public Offering (IPO) of Indian Renewable Energy Development Agency was subscribed 38.80 times on the last day of bidding on Thursday.
The IPO had a fresh issue of up to 40,31,64,706 equity shares and an offer for sale of up to 26,87,76,471 equity shares.
The price range for the offer was Rs 30-32 a share.
This was the first public issue by a public sector enterprise after Life Insurance Corporation's IPO in May last year.
Proceeds from the fresh issue will be used for augmenting IREDA's capital base to meet its future capital requirements and onward lending.
IREDA is a mini Ratna firm under the administrative controls of the Ministry of New and Renewable Energy.
The organisation offers a comprehensive array of financial products (fund- and non-fund-based) associated services, from project inception to post-completion, for renewable energy projects and related activities like equipment manufacturing and transmission.