Fujiyama Power Systems share price: Stock makes weak debut; here's how much investors lost

Fujiyama Power Systems share price: Shares of rooftop solar solutions provider Fujiyama Power Systems made a weak debut on the stock exchanges on Thursday, November 20.

The stock listed at ₹220 per share on the National Stock Exchange (NSE), reflecting a discount of 3.51% against the IPO issue price of ₹228 a unit.

On the BSE, it started trading at ₹218.40, down 4.1% from the issue price.

Fujiyama Power Systems share price: Here's how much investors lost

The book-build issue, which aimed to raise ₹828 crore, was a combination of new equity shares totalling ₹600 crore and an offer for sale (OFS) of shares aggregating to ₹228 crore by promoters Pawar Kumar Gard and Yogesh Dua. It had a price band of ₹216 to ₹228 per share.

Of the fresh issue proceeds, ₹180 crore will be utilised for part financing the establishment of the manufacturing facility in Madhya Pradesh's Ratlam, ₹275 crore for debt clearance and rest for general corporate purposes.

The initial share sale was subscribed 2.14 times during the three-day bidding period, it got bids for 5,63,26,595 shares compared to 2,63,47,221 shares on offer, as per the data on the NSE website.

Prior to the IPO, the company mobilised ₹247 crore from anchor investors such as Nippon India Mutual Fund (MF), Tata Mutual Fund, ValueQuest -- Investment Advisors, Societe Generale, Astorne Capital, BNP Paribas, LC Pharos Multi Strategy Fund and Citigroup Global Markets Mauritius.

According to the BSE circular, the company allocated over 1.08 crore equity shares at an offer price of ₹228 per share, raising ₹246.89 crore.

Fujiyama Power Systems makes products and provides solutions in the rooftop solar industry, including on-grid, off-grid and hybrid solar systems. It produces solar panel, solar inverter (covering on-grid, off-grid and hybrid solutions) and lithium-ion and lead acid batteries. Its products are sold under the 'UTL Solar' and 'Fujiyama Solar' brands.

Fujiyama Power Systems' operational footprint is supported by four advanced manufacturing units located in Greater Noida, Parwanoo, Bawal and Dadri.