Saatvik Green Energy IPO opens today: GMP up 14%; should you apply or not?

Saatvik Green Energy IPO includes a fresh issue of 15.05 million equity shares totaling ₹700 crore and an offer for sale (OFS) of 4.3 million equity shares totaling ₹200 crore

Saatvik Green Energy IPO: Saatvik Green Energy, a solar module manufacturer, is set to launch its initial public offering (IPO) on September 19, 2025. The company aims to raise around ₹900 crore through the issuance of 19.35 million new equity shares. 

The mainline offering includes a fresh issue of 15.05 million equity shares totaling ₹700 crore and an offer for sale (OFS) of 4.3 million equity shares totaling ₹200 crore. For investor allocation, 50 per cent of the issue size is reserved for Qualified Institutional Buyers (QIBs), 35 per cent for retail investors, and 10 per cent for Non-Institutional Investors (NIIs) such as HNIs. 

 

Ahead of the opening of the issue, Saatvik Green Energy raised ₹269 crore from anchor investors. The company has allotted 5.79 million equity shares to nine funds at ₹465 apiece, according to a circular uploaded on the BSE website. HDFC Mutual Fund (MF), Nippon India MF, Bandhan MF, 360 One, 3P India, and SBI General Insurance Company participated in the anchor round.  Saatvik Green Energy IPO - Key Risks, Strengths You Must Know

Should you subscribe to the Saatvik Green Energy IPO?

SBI Securities: Subscribe

Saatvik Green Energy has a total installed capacity of 4.8 GW. The company plans to establish an integrated cell and module manufacturing facility in Odisha, with a cell production capacity of 4.8 GW expected by FY27 and a module production capacity of 4 GW anticipated by FY26.  

Historically, the company recorded a compound annual growth rate (CAGR) of 88 per cent/365 per cent/572 per cent in Revenue/Ebitda/PAT, respectively, during the FY23-FY25 period, showcasing the company’s robust financial performance, SBI Securities said in a note. 

"At the upper price band of ₹465, Saatvik Green Energy is valued at FY25 P/E multiple of 27.6x based on its post-issue capital," the brokerage said.

 

SBI Securities recommended investors to 'Subscribe' to the issue at the cut-off price.  CHECK EURO PRATIK SALES IPO ALLOTMENT STATUS HERE

Arihant Capital: Subscribe for long term

Arihant Capital analysts note that the company's strong growth is driven by a diversified and high-profile customer base in utility, commercial, industrial, and export markets, including clients such as JSW Neo Energy, Shree Cement, and SJVN Green Energy, with the top five customers accounting for 44 per cent of FY25 revenues. 

 

"Key strengths include its integrated solar photovoltaic module manufacturing and EPC capabilities, strong order book, established relationships with large domestic and global customers, and presence across India, North America, Africa, and South Asia," the brokerage said in a note. 

 

At the upper band of ₹465, the issue is valued at a P/E ratio of 27.6x, based on FY25 EPS of ₹16.8. 

 

Arihant Capital has assigned a 'Subscribe for long term' rating for this issue.

Saatvik Green Energy IPO GMP

According to sources monitoring the grey market, unlisted shares of Saatvik Green Energy were trading at ₹530 on September 19, reflecting a grey market premium (GMP) of ₹65 or 14 per cent against the upper end of the IPO price band, which is set at ₹442 to ₹465.

Here are the key details of Saatvik Green Energy IPO:

The Saatvik Green Energy IPO is open for subscription over a three-day window, set to close on Tuesday, September 23. The share allotment process is expected to be completed by Wednesday, September 24. The successful allottees will receive the company's shares in their demat account on Thursday, September 25. 

 

The company's shares are tentatively scheduled to be listed on the NSE and BSE on Friday, September 26.

 

The IPO is priced in the range of ₹442 to ₹465 per share, with a lot size of 32 shares. At the upper price of ₹465, a retail investor will need ₹14,880 for one lot. The maximum investment allowed for retail buyers is 13 lots (416 shares), which amounts to ₹1,93,440.

 

Kfin Technologies is the registrar of the IPO. DAM Capital Advisors, Ambit, and Motilal Oswal Investment Advisors are the book-running lead managers.

 

According to the RHP, the company plans to utilise ₹10.8 crore from the net fresh issue proceeds for repayment or prepayment of debt, ₹166.4 crore for 166.43 crore for investment in its wholly owned Subsidiary, Saatvik Solar Industries, and ₹477.22 crore for setting up a 4 GW solar PV module manufacturing facility in Odisha. The remaining funds will be used for general corporate purposes.