Emp-Indian Renewable Energy Development Agency Ltd

IREDA

₹30-32

per share

Bidding Dates
21-23 Nov
Min. Investment
₹13,800.00
Lot Size
460 shares
Issue Size
₹2150 Cr

IPO Timeline

Bidding starts

21 Nov ‘23

Bidding ends

23 Nov ‘23

Allotment finalisation*

25 Nov ‘23

Refund initiation*

26 Nov ‘23

Demat transfer

28 Nov ‘23

Listing

29 Nov ‘23

* Refund is a 7-10 days process. If you don’t get refund then please contact your bank.

About Indian Renewable Energy Development Agency Limited

Incorporated in 1987, IREDA is a systemically important non-deposit-taking non-banking finance company (NBFC-ND-SI) with an Infrastructure Finance Company (IFC) status. It is wholly-owned by the Government of India (GoI) under the administrative control of the Ministry of New and Renewable Energy (MNRE).

It provides financial assistance to RE (new and renewable energy) projects and EEC (energy efficiency and conservation) projects. It offers long-term, medium-term and short-term loans, top-up loans, bridge loans, takeover financing, and loans against securitization of future cash flows. Additionally, the bank provides loans to government entities; financing schemes for RE suppliers, manufacturers and contractors; and consulting services on techno-commercial issues relating to the RE sector.

It sources the funding from paid-up equity share capital accounting for ₹ 2,284 crore and borrowings of various maturities from the domestic and international markets.

It caters to multiple segments within the renewable energy industry, such as solar power, wind power, hydropower, transmission, biomass, including bagasse and industrial co-generation, waste-to-energy, ethanol, compressed biogas, hybrid RE, EEC and green-mobility. In FY23, the bank sanctioned loans amassing a total of ₹ 32,586 crore and 93% of its term loans outstanding, as of 30 September 2023 have security cover.

As of 30 September 2023, the bank had term loans outstanding in 23 states and five union territories. It also operates a 50 MW Solar Photovoltaic Project in Kerala for the Kerala State Electricity Board.Between FY21 and FY23, it saw a CAGR rise of 9% in its revenue from operations and 35% in its profit. Moreover, the NBFC has played a major role in developing the renewable energy sector in India. This, along with the fact that the government increased focus on expanding renewable capacity to 66% of total power requirement by FY32, could be beneficial for the company.

And now, Indian Renewable Energy Development Agency Limited is coming out with its initial public offer (IPO). The IPO will be an offer for sale as well as a fresh issue. The money raised through the fresh issue will be utilised to undertake existing business activities and to undertake the activities proposed to be funded from the net proceeds. Its shares will be listed on the NSE and the BSE.

Here are key details about the Indian Renewable Energy Development Agency Limited IPO:

Company Name	Indian Renewable Energy Development Agency Limited Limited	Company Type	Private
Company Established On	1987	Indian Renewable Energy Development Agency Limited IPO Opening Date	November 21, 2023
Indian Renewable Energy Development Agency Limited IPO Closing Date	November 23, 2023	Indian Renewable Energy Development Agency Limited IPO Allotment Status	November 25, 2023
Credit of Shares to the Demat Account	November 26, 2023	Indian Renewable Energy Development Agency Limited IPO Listing Date	November 29, 2023
Indian Renewable Energy Development Agency Limited IPO Face Value	₹10 per share	Indian Renewable Energy Development Agency Limited IPO Lot Size	460 Shares
Indian Renewable Energy Development Agency Limited IPO Issue Size	₹2,150.21 Cr	Indian Renewable Energy Development Agency Limited IPO to be Listed on	BSE, NSE
Indian Renewable Energy Development Agency Limited IPO Price band	₹30 to ₹32 per share

Financial snapshot

Particulars	FY21	FY22	FY23
Revenue	₹ 2,654 crore	₹ 2,859 crore	₹ 3481 crore
Net Profit	₹ 346 crore	₹ 633 crore	₹ 864 crore

Hear’s a quick look at IREDA IPO’s strengths, weakness, opportunities and risks (SWOT analysis)

Strengths and opportunities

Largest pure-play green financing NBFC in India as of 31 March 2023.
Track record of growth along with diversification of its asset base. As of 31 March 2023, term loans outstanding stood at ₹47,075 crore, which rose at a CAGR of 30% in the last three fiscal years.
Access to diversified and cost-effective long-term source of borrowings as its average cost of borrowing for FY23 was 6.23%.
Strategic role in GoI initiatives as it serves as the implementing agency for key MNRE policies and schemes and acts as the Central Nodal Agency for specific schemes.
Company has an established and trusted brand name with an experience of 36 years.

Risks and threats

Subjected to risks associated with volatility in interest rates.
Dependent on the Indian renewable energy sector for its business growth, which, in general, has many challenges.
India Ratings downgraded the company's bonds to “IND AA+’/Stable” from “AAA/Negative in September 2020. Any further ratings downgrade could impact future business.
RE projects tend to be intermittent, seasonal, prone to vagaries of nature and have inherent risks such as political, regulatory, fiscal, monetary, legal and others.
Subject to periodic inspections by the RBI.
Has experienced negative cash flows from operating and investing activities in FY21, FY22 and FY23.
As of 30 September 2023, its indebtedness aggregated to ₹39,850 crore. High indebtedness could adversely impact a company's business and financial performance.

Indian Renewable Energy Development Agency Limited IPO details

|Indian Renewable Energy Development Agency Limited IPO date

According to the offer document filed by the company with the SEBI, the IREDA IPO’s opening date – in other words, the IREDA IPO launch date – will be 21st November 2023. The IREDA IPO closing date is 23rd November 2023. After this, investors will be updated about the allotment status on 28th November 2023.

Investors, who have been allotted shares, can expect them to be credited to their demat account on 29th November 2023. The IREDA IPO listing date is 1st December 2023. The listing date is the date on which the shares of a company get listed on the bourses – NSE and BSE.

|Indian Renewable Energy Development Agency Limited IPO Price Band

The IPO is an offer for sale as well as a fresh issue. The IREDA IPO price band has been set between ₹30 and ₹32 per share. Interested investors can choose a price within this band to apply for the IPO.

The IREDA IPO listing price will be determined on 1st December 2023. The listing price is the price at which a company’s shares debut on the stock exchanges.

|Indian Renewable Energy Development Agency Limited IPO Lot size

The IREDA IPO details have been declared. The IREDA IPO lot size is set at 460 shares and an investor can apply for a minimum of 1 lot. Meanwhile, the IREDA IPO issue size is approx ₹2,150 crore.

How to pre-apply for the IREDA IPO?

You can pre-apply for the IREDA IPO on Upstox. The pre-application for this IPO, which means pre-apply open date, usually begins a day before the IPO opens for subscription.

Follow these steps to pre-apply for the IPO:

Login to your Upstox account, using your six-digit PIN
After successfully logging in, click on ‘Discover’
On the Discover tab, you will find the ‘Invest in IPO’ section
Under the Invest in IPO section, look for the ‘IREDA
IPO’ tab and click on it
Now fill in all the required information, like ‘bid price’ and ‘lot size’
Confirm and click on ‘Pre-Apply’
Accept the mandate on your UPI app

How to apply for the IREDA IPO?

If you are interested in this investment opportunity but unsure how to apply for the IREDA IPO, here we are listing out the steps for you.

When the public issue opens for subscription, one can follow this step-by-step guide on how to apply for the IREDA Technologies IPO on Upstox:

Login to your Upstox account, using your six-digit PIN
After successfully logging in, click on ‘Discover’
On the Discover tab, you will find the ‘Invest in IPO’ section
Under the Invest in IPO section, look for the 'Indian Renewable Energy Development Agency Ltd IPO’ tab and click on it
Now fill in all the required information, like ‘bid price’ and ‘lot size’
Confirm and click on ‘Apply’
Accept the mandate on your UPI app

How to check the IREDA IPO allotment status?

When the allotment process is completed, you can check the status of your application on the Upstox app. Share allotment is generally done around five to six days after an IPO closes.

Here’s a step-by-step guide on how to check the IREDA IPO allotment status:

Login to your Upstox account, using your six-digit PIN
After successfully logging in, click on ‘Discover’
On the Discover page, you will find the ‘Invest in IPO’ section
Under the Invest in IPO section, you will find the ‘View all’ option
Once you click on ‘View all’, you will be directed to the ‘IPO’ tab
In the ‘IPO’ tab, click on ‘My applications’
In ‘My applications’, under the History section, your IREDA IPO allotment status will be mentioned

Open a demat account with Upstox to apply for the IREDA IPO

To apply for the IREDA IPO, you need to mandatorily have a demat account. A demat account helps you hold the shares you buy in a dematerialised format. If you don’t have a demat account yet, you can open one with Upstox by visiting our website or by downloading the app.

Here is a step-by-step guide on how to open a demat account with Upstox:

Click here to visit the demat account opening page on the Upstox website.
Enter your phone number and other essential details to begin opening a demat account.
Upload the scanned copies of your PAN, Aadhaar card, a cancelled cheque, and your bank statement as needed.
Complete the e-verification using the OTP sent to your registered mobile number.

This is all it takes to open a demat account with Upstox. Easy and quick, right?

Upstox – trading app to apply for the IREDA IPO

Applying for IPOs with Upstox is extremely easy. The user-friendly interface and top-notch security make Upstox one of the leading trading apps in India.

You can apply for the IREDA IPO on Upstox, provided you have a demat account. As mentioned in the previous section, you can simply follow the steps to open a demat account with Upstox. The biggest advantage is that when you apply for an IPO using your Upstox account, the brokerage charges are zero.

In fact, courtesy of its robust features and minimal charges, Upstox is among the most preferred trading apps. Lakhs of Indians trust Upstox as it is a reliable trading platform that makes IPO applications easy.

IPO analysis

Registrar information

Name

Link Intime India Private Limited

Phone number

+91-22-4918 6270

Email ID

indianrenergy@linkintime.co.in

Red herring prospectus

View documents submitted by company in filing to understand more details about them.

FAQs

How can you pre-apply for the IREDA IPO?

Pre-applying for the IREDA IPO means applying for this public issue before it goes live. Click here to pre-apply for the IREDA IPO on Upstox.

When does pre-apply for the IREDA IPO open and how can you pay for it?

You can pre-apply for the IREDA IPO from 17 November 2023. Once the IPO goes live, you will receive a UPI mandate. Accept this to block the IPO application amount and successfully place your bid.

How to apply for IREDA IPO? Or How to invest in the IREDA IPO?

You can apply on Upstox’s website and app, once the IREDA IPO opens for the subscription.

When does the IREDA IPO open and close for the subscription?

The IREDA IPO launch date is 21st November 2023. The IREDA IPO will be open for subscription till 23rd November 2023.

What’s the lot size and minimum investment needed for the IREDA IPO?

The IREDA lot size is 460 shares and the minimum investment required is ₹14,720.

What is the price band for the IREDA IPO?

The IREDA IPO price band is ₹30 – ₹32 per share.

What’s the size of the IREDA IPO?

The size of the IREDA IPO is approx. ₹2,150 crore.

How many bids can I place for the IREDA IPO?

You can place up to three bids for an application.

Can these bids be placed at different times during the IPO subscription period?

No, the bids have to be placed in one go. If you want to add an additional bid, then you would have to delete your application and re-apply.

When will IREDA shares be credited to your demat account?

If shares are allotted, then they will be credited to your demat account on 29th November 2023.

Which exchanges will IREDA shares list on?

IREDA shares will be on NSE and BSE.

When will IREDA shares list on the exchanges?

IREDA shares’ listing date is 1st December 2023.

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