NTPC Green Energy IPO offers promising stock market opportunities with robust growth, attractive GMP, and significant renewable energy expansion potential.

With the NPTC Green Energy IPO lined up to list on November 19, 2024, the stock market has become abuzz with the news. The whole subsidiary NTPC Limited’s NTPC Green Energy Ltd has stood much under scanner due to its reasonable growth prospect with its ambitious renewable energy expansion plans. This is an awaiting IPO as the grey market premium (GMP) indicates increasing demand around it. Everything you need to know about this exciting development in the world of company news and stock market updates.

NPTC Green Energy IPO Details

1. IPO Price Band

The NPTC Green Energy IPO price band has been priced at ₹102 and ₹108 per equity share. The applicants who fall under the employee quota can avail of ₹5 off per share.

2. IPO Date

The book-building issue will open for subscription on November 19, 2024, and will be open for subscription till November 22, 2024. This is a four-day time period wherein the potential investors get more than enough time to gauge whether they wish to participate.

3. IPO Lot Size

Each lot comprises 138 shares as retail investors get an opportunity to enter the fray with a minimum investment of about ₹14,076 at the lower end of the price band.

4. IPO Size and Objectives

NTPC Green Energy Ltd, the company that has ambitious plans for renewable energy capacity expansion in line with India’s sustainable energy goals, would attempt to raise a whopping ₹10,000 crore in this public offering. The funds are to be used for its ambitious plans of expansion in renewable energy capacity as part of India’s sustainable energy goals.

5. Grey Market Premium (GMP)

As of now, the GMP of NPTC Green Energy IPO is standing at ₹4, which depicts good sentiment among the grey market participants. It is a premium of showing increased interest in the IPO ahead of its launch.

Why Investors Are Keen on NTPC Green Energy Ltd

Exponential Growth Potential

NTPC Green Energy Ltd. has really picked up well and is on a successive growth spree. The revenues of the company have seen a whopping growth of 1094% in FY24 and PAT too has doubled during the same time, signifying good health in terms of both financials and operations.

Good Market Position

The company has committed to scaling up its operational renewable energy capacity from 3.3 GW in September 2024 to 19 GW by FY27. This aggressive ramp-up strategy puts NTPC Green Energy firmly into India’s transition to green energy.

 Valuation Insights

The upper price band of ₹108 values NTPC Green Energy Ltd at FY24 EV/EBITDA of 53.4x; however, this valuation becomes attractive with growth as the multiple reduces greatly to 8.7x in FY27 thereby making it a promising long-term investment.

NPTC Green Energy IPO Review

SBI Securities has also assigned a “subscribe” rating to the IPO. The company cited factors include exponential growth in revenues, EBITDA, and PAT with estimated CAGRs of 79%, 117.2%, and 123.8% respectively from FY24 to FY27. Such robust growth outlook and support for Indian renewable energy goals make the IPOs stand out ideally for investors.

Key Dates for Investors

Conclusion

The NPTC Green Energy IPO offers an opportunity to let investors be a part of the renewable energy revolution in India. With good keeping on the right track for strategic growth, impressive financials, and a tremendous grey market premium, this IPO is going to be the high point in stock market news for November. Future investors can look forward to subscribing to this public issue, and long-term gains, as NTPC Green Energy Ltd continues its journey towards becoming the leader in the green energy sector.

Invest wisely as we await further updates on this much-awaited upcoming IPO.