IREDA Stock Soars 87.5% on Market Debut

New Delhi, Nov 29 (PTI) Shares of Indian Renewable Energy Development Agency (IREDA) made a remarkable stock market debut on Wednesday, ending with a premium of 87.5 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. During the day, it rallied 87.46 per cent to Rs 59.99 on the BSE.

On the NSE, the stock ended at Rs 60 apiece, soaring 87.5 per cent.

The company commanded a market valuation of Rs 16,123.90 crore.

In volume terms, 381.55 lakh shares of the firm were traded on the BSE and over 57.98 crore shares on the NSE during the day.

In the equity market, the 30-share BSE Sensex jumped 727.71 points or 1.10 per cent to settle at 66,901.91 and the Nifty climbed 206.90 points or 1.04 per cent to 20,096.60.

The Initial Public Offering (IPO) of IREDA 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 component 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.