NTPC Green Energy Limited IPO (NTPC Green Energy IPO) Detail Review –
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) is set to open for subscription from 19th Nov 2024 to 22nd Nov 2024. In this article we will analyze the financials , strengths and weaknesses of the NTPC Green Energy Limited IPO (NTPC Green Energy IPO). Keep scrolling below to read more!
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) Overview –
Established in 2022, NTPC Green Energy Limited is a wholly-owned subsidiary of NTPC Limited. NTPC Green is a renewable energy company that focuses on undertaking projects through organic and inorganic routes.
As of August 31, 2024, the company had an operational capacity of 3,071 MW from solar projects and 100 MW from wind projects across six states.
As of June 30, 2024, the company’s Portfolio consisted of 14,696 MW, including 2,925 MW of operating projects and 11,771 MW of contracted and awarded projects.
As of June 30, 2024, the company had 15 off-takers across 37 solar projects and 9 wind projects.
As of June 30, 2024, the company is constructing 31 renewable energy projects in 7 states, totaling 11,771 MW.
Competitive Strength
- Promoted by NTPC Limited, with its extensive experience in large-scale project execution, maintains strong relationships with off takers and suppliers and showcases significant financial strength.
- As of June 2024, the company has a Portfolio of 14,696 MWs solar and wind projects.
- Experienced team in renewable energy project execution.
As of June 30, 2024, the workforce comprised 234 employees, and the company utilized the services of 45 contract laborers.
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) Synopsis-
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) is set to be open for subscription from 13th Nov 2024 to 18th Nov 2024, offering fresh issue of 92.59 crore shares aggregating to Rs 10,000.00 crores. This NSE,BSE IPO follows a Book Built Issue IPO with tentative listing date fixed as Wednesday, November 27, 2024.
The total issue size of this IPO amounts to Rs. 10,000.00 Crores. The company has allocated shares 10% to retail investors, 75% to institutional and 15% to non institutional investors.
| Particulars | Details |
| Opening Date | 19th Nov 2024 |
| Closing Date | 22nd Nov 2024 |
| Lot Size | 138 Shares |
| Face Value | Rs 10 |
| IPO Size | Rs. 10,000.00 Cr |
| Fresh Issue | Rs. 10,000.00 Cr |
| IPO Price Range | Rs. 102 – 108 |
| Min. Investment | Rs. 14,904 |
| Offer for Sale (OFS) | N/A |
| Employee Discount | Rs 5 per share |
| Basis of Allotment | 25th Nov 2024 |
| Refunds | 26th Nov 2024 |
| Listing Date | 27th Nov 2024 |
| DRHP Draft Prospectus: | Click Here |
| RHP Draft Prospectus: | Click Here |
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) Market Lot
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) minimum market lot is 138 shares with ₹14,904 application amount. The retail investors can apply up to 13 lots with 1,794 shares or ₹1,93,752 amount.
| Application | Lot Size | Shares | Amount |
| Retail Minimum | 1 | 138 | ₹14,904 |
| Retail Maximum | 13 | 1,794 | ₹1,93,752 |
| S-HNI Minimum | 14 | 1,932 | ₹2,08,656 |
| S-HNI Maximum | 67 | 9,246 | ₹9,98,568 |
| B-HNI Minimum | 68 | 9,384 | ₹10,13,472 |
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) Book Running Lead Managers –
- IDBI Capital Markets & Securities Limited
- HDFC Bank Limited
- IIFL Securities Limited
- Nuvama Wealth Management Limited
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) Registrar to the offer –
The registrar for the NTPC Green Energy Limited IPO (NTPC Green Energy IPO) is Kfin Technologies Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
The Objective Of The Issue –
The company desires to use the Net Proceeds from the Issue to fulfill its following goals:
Investment in NTPC Renewable Energy Limited (NREL), a wholly owned subsidiary, for the repayment or prepayment of all or a portion of some outstanding loans availed by NREL
General Corporate Purposes.
Key Performance Indicator –
The market capitalization of NTPC Green Energy Limited IPO is Rs 91,000.00 Cr.
KPI as of September 30, 2024.
| KPI | Values |
| ROE: | N/A |
| ROCE: | N/A |
| EBITDA Margin: | 88.99% |
| PAT Margin: | 17.56% |
| Debt to equity ratio: | 1.98 |
| Earning Per Share (EPS): | ₹0.73 (Basic) |
| Price/Earning P/E Ratio: | N/A |
| Return on Net Worth (RoNW): | 5.53% |
| Net Asset Value (NAV): | ₹10.90 |
Financial Status –
NTPC Green Energy Limited’s revenue increased by 1094.19% and profit after tax (PAT) rose by 101.32% between the financial year ending with March 31, 2024 and March 31, 2023.
Below is the synopsis of the company’s financial data for the financial year that concluded on 30 September 2024.
The company’s total assets are Rs. 32,408.30 crore.
The company’s total revenue is Rs. 1,132.74 crore.
The company’s PAT is Rs. 175.30 crore.
The company’s net worth is Rs. 8,189.18 crore
| Particulars(in Rs. Crores) | 30 Sep 2024 | 31 MAR 24 | 31 MAR 23 |
|---|---|---|---|
| Total Assets | 32,408.30 | 27,206.42 | 18,431.40 |
| Revenue From Operations | 1,132.74 | 2,037.66 | 170.63 |
| PAT | 175.30 | 344.72 | 171.23 |
| Net Worth | 8,189.18 | 6,232.14 | – |
| Reserves and Surplus | 596.08 | 512.60 | 167.88 |
| Total Borrowings | 17,057.50 | 12,796.74 | – |
Evaluation of P/E Ratio :
Considering the FY ended 31 Mar 2024 with an EPS of Rs.0.73 from the last year, the resulting P/E ratio is 147.94x.
Comparative Analysis with Listed Peers
The average P/E Ratio of the industry is 153.44x.
In simple words, the P/E ratio of this IPO (147.94x), compared with the industry’s average P/E of 153.44x, has an undervaluation (on a P/E ratio basis only). Hence the price of the Share seems fully priced for the investors when considered based on the average P/E ratio of the industry.
Peers of NTPC Green Energy Limited IPO (NTPC Green Energy IPO) –
| Company Name | EPS (Basic) | EPS (Diluted) | NAV (per share) (Rs) | P/E (x) | RoNW (%) | P/BV Ratio | Financial statements |
|---|---|---|---|---|---|---|---|
| NTPC Green Energy Limited | 0.73 | 0.73 | 10.90 | 5.53 | 9.91 | Consolidated | |
| Adani Green Energy Ltd | 6.21 | 6.20 | 62.08 | 259.83 | 12.81 | 28.82 | Consolidated |
| Renew Energy Global PLC | 9.94 | 9.92 | 290.15 | 47.05 | 3.94 | 1.61 | Consolidated |
Dividend Policy
The company has not paid any dividends since incorporation.
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) Strengths –
- NTPC Green Energy is backed by the extensive experience of NTPC Limited.
- The company holds a diverse portfolio of 16,896 MW of solar and wind as of September 2024.
- Strong credit ratings enable NTPC Green Energy to lower capital costs.
- Experienced management enhances execution capabilities and project success rates.
- NTPC Green Energy is a market leader in competitive bidding capacities.
- The company is expanding into green hydrogen and energy storage solutions.
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) Weakness –
- Over 87% of revenue in Fiscal 2024 comes from five major off-takers which indicates reliance on limited customers.
- Supply disruptions for solar and wind components can impact operations.
- Project delays or cost overruns may affect profitability and cash flow.
- Concentration of projects in Rajasthan increases risk from local disruptions.
- Regulatory changes in tariffs could negatively impact revenue stability.
- Competition from traditional and renewable companies challenges market positioning.
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) Status –
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) allotment status will be available on Kfin Technologies Limited.
Click on Link Kfin Technologies Limited to get allotment status.
NTPC Green Energy Limited IPO (NTPC Green Energy IPO) GMP Today –
IPO’s last GMP is ₹1, last updated 15th Nov 2024. With the price band of 108.00, IPO’s estimated listing price is ₹109(cap price + today’s GMP). The expected percentage gain/loss per share is 0.93%.
Note : The GMP prices shown here are only news related to the grey market. We do not trade/deal in grey market or subject to rates, nor do we recommend trading in grey market.
Disclaimer:
- IPO Grey Market Premium (NTPC Green Energy Limited GMP) mention is valid for the specific date as mentioned in the header.
- We are not buying and selling IPO forms on IPO Grey Market.
- Don’t decide to subscribe to an IPO just based on the initial price, as it can change before the listing.Subscribe only considering Fundamentals of the companies.
Conclusion –
Hope the details presented in this blog will assist you in learning about the financial performance of the company. Before making an investment in the company’s upcoming initial public offering (IPO), thoroughly research the company, its finances, business prospects, and market trends.
Also, investors should consult their financial advisor, conduct further due diligence, analyze industry trends and the competitive landscape, and consider risk factors before making an investment decision.
For all such latest information on upcoming IPOs, keep visiting our website.
