ACME Solar Holdings IPO will open on November 6, 2024, and close on November 8, 2024. ACME Solar Holding Limited was incorporated in 2015 and is among the top 10 renewable energy companies in India. So, let’s unfold ACME Solar Holdings IPO details, financials, risk factors, and peer analysis.
ACME Solar Holdings IPO Date 2024
The important dates related to ACME Solar Holdings IPO are:
- Bidding Opening Date: November 6, 2024
- Bidding Closing Date: November 8, 2024
- Allotment Date: November 11, 2024
- Initiation of Refunds (in case of less or no allotment): November 12, 2024
- Shares Credited to Your Demat Account: November 12, 2024
- IPO Listing Date: November 13, 2024
- Listing on Exchange: NSE and BSE
ACME Solar Holdings IPO Details
Its total issue size is ₹2,900 crores including both the fresh issue and offer for sale (OFS) component.
Here are the key details of ACME Solar Holding Limited IPO:
- ACME Solar Holdings IPO Price Band: ₹275 to ₹289 per share
- Face Value: ₹2 per share
- Lot Size: 51 Shares
- Total Issue Size and Amount: 10,03,46,022 shares (amounting to ₹2,900 crores)
- Fresh Issue Size and Amount: 82,871,973 shares (amounting to ₹2,395 crores)
- OFS Size and Amount: 17,474,049 shares of ₹2 each (amounting to ₹505 crores)
ACME Solar Holdings IPO Proceeds
ACME Solar Holding Limited is planning to use the net proceeds for the following purposes:
- ₹1,795 crores to be invested in the subsidiaries for repayment or pre-payment of their certain outstanding loans.
- Remaining for other corporate purposes.
WHY SMC
- 20 Lac+ unique clients
- 33+ Years of Serving
- Advance Technical Analysis
- Free Demat Account
ACME Solar Holdings IPO Reservations
ACME Solar Holdings IPO reservations to different investors are:
- For QIBs: Not less than 75% of the net offer
- For NIIs: Not more than 15% of the net offer
- For Retail Investors: Not more than 10% of the net offer
ACME Solar Holdings IPO Lot Size
ACME Solar Holdings IPO lot size is 51 shares, wherein bidding can be done in further multiples. The minimum and maximum of the lot size that each category of investor can apply in this IPO are:
| Applicant Type | Lot Size | Shares | Amount (in ₹) |
|---|---|---|---|
| Retail (Min) | 1 | 51 | 14,739 |
| Retail (Max) | 13 | 663 | 1,91,607 |
| S-HNI (Min) | 14 | 714 | 2,06,346 |
| S-HNI (Max) | 67 | 3,417 | 9,87,513 |
| B-HNI (Min) | 68 | 3,468 | 10,02,252 |
ACME Solar Holdings IPO Promoter Holding
The promoters of ACME Solar Holdings are:
- Mamta Upadhyay
- Manoj Kumar Upadhyay
- ACME Cleantech Solutions Private Limited
- MKU Holdings Private Limited
- Upadhyay Family Trust
ACME Cleantech Solutions Private Limited is the only promoter-selling shareholder in this IPO.
ACME Solar Holding Limited: Company Overview
ACME Solar Holdings is an integrated renewable energy company with a diversified portfolio of solar, wind, hybrid, and firm and dispatchable renewable energy (FDRE) projects.
The company develops and maintains utility-scale renewable energy projects and generates revenue through the sale of electricity. The company part of the ACME Group, has a solar operational capacity of 1,340 MW as of June 30, 2024.
ACME Solar’s key strengths are one of the largest renewable energy independent power producers, end-to-end value chain capabilities, an expansive portfolio of projects, and long-term stable cash flows from contracts with central and state bodies.
ACME Solar Holdings: Financials
ACME Solar Holdings’s key financials for Q1 FY25 and Q1 FY24 are as follows:
| Particulars | June 30, 2024 | June 30, 2023 | YoY Change |
|---|---|---|---|
| Total Revenue | 340.01 | 426.56 | -20.29% |
| PAT | 1.39 | 82.33 | -98.31% |
| EBITDA | 271.72 | 321.70 | -15.54% |
| Assets | 13,985.14 | 12,126.86 | 15.32% |
| Total Borrowings | 9,319.91 | 8,472.33 | 10.00% |
| Net Debt/Equity (x) | 3.89 | 3.68 | 5.71% |
| Cash RoE (% of Equity) | 2.93 | 8.02 | -63.47% |
| DSO (Days) | 112 | 140 | -28 |
*(in ₹ crores)
- In the Q1 FY25 (for the April-June 2024 quarter), the company’s revenue and PAT decreased by 20.29% YoY and 98.31% YoY, respectively. EBITDA also reduced by 15.54% YoY in Q1 FY25.
- Assets have grown by 15.32% but the total borrowings also rose by 10% on a year-on-year basis in the Q1 FY25.
- The rising net debt-to-equity ratio and lower cash return on equity in the quarter are negative signs.
- The Days Sales Outstanding (DSO) fell by 28 days which means better cash flow.
WHY SMC
- 20 Lac+ unique clients
- 33+ Years of Serving
- Advance Technical Analysis
- Free Demat Account
ACME Solar Holdings: Operational Metrics
The company’s operational metrics are as follows:
| Particulars | June 30, 2024 | June 30, 2023 | YoY Change |
|---|---|---|---|
| Total Installed Capacity (MW) | 1,340 | 1,459 | -119 |
| Under Construction Contracted (MW) | 2,220 | 1,900 | 320 |
| Under Construction Awarded (MW) | 1,810 | 380 | 1,430 |
- ACME Solar Holdings’s installed capacity has been reduced by 119 MW from Q1 FY24 to Q1 FY25.
- The under-construction contracted capacity increased by 320 MW while under construction awarded capacity also rose by 1,430 MW.
Peer Analysis of ACME Solar Holdings
The comparison of ACME Solar Holding Limited’s performance with its peers in the same industry is as follows:
| Particulars | ACME Solar Holdings | Adani Green Energy | ReNew Energy Global PLC |
|---|---|---|---|
| EBITDA Margin | 87.75% | 92.52% | 76.71% |
| PAT Margin | 0.41% | 20.15% | 1.58% |
| Basic EPS | ₹12.55 | ₹6.21 | ₹9.94 |
*(For Q1 FY25 ending)
- EBITDA and PAT margins were lower than the peers in the industry.
- Basic EPS is higher than the competitors highlighting better earnings on each share.
Risk Factors in ACME Solar Holding Limited
The risk factors that the ACME Solar Holdings is exposed to are as follows:
- May not be able to increase the portfolio of renewable energy projects with reliance on auctions and successful execution of under-construction projects.
- Dependent on the power purchase agreements to generate revenue which are exposed to contractual risks.
- As of June 30, 2024, more than 95% of the revenue from operations was dependent on the top 10 off-takers or customers.
- ACME Cleantech is the only largest supplier of components and the company does not have any long-term agreements with suppliers.
- Lack of experience in commissioning wind, hybrid, FDRE power projects, and closed-loop pump storage projects.
- Restriction on the import of renewable energy equipment (solar PV modules and inverters) may increase the overall cost.
- The geographical concentration of the operational projects in a few states such as Andhra Pradesh, Rajasthan, and Telangana may increase the business risk.
ACME Solar Holdings IPO GMP and Review
ACME Solar Holdings IPO GMP is ₹30 and its estimated listing price is ₹319 as of November 4, 2024 (at 12:02). With the IPO price of ₹289 per share, ACME Solar Holdings share price is expected to list at a gain of 10.38%.
For all the insights on ACME Solar Holdings IPO and detailed expert advice, you can download the SMC ACE App or visit the SMC telegram channels. Take smart decisions and apply for this IPO easily on the SMC ACE App by opening demat account now.
ACME Solar Holding Limited IPO Contact Information
For inquiries related to the ACME Solar Holdings IPO details, you can contact at the following places:
Registered Office Address: Plot No. 152, Sector 44, Gurugram 122 002, Haryana, India
Phone: 91 124 7117000
Email: cs.acme@acme.in
Company Website: https://www.acmesolar.in/
ACME Solar Holdings IPO Registrar Details:
Registrar Name: KFin Technologies Limited
Phone: 91 40 6716 2222
Email: acmesolar.ipo@kfintech.com
FAQs
1. Is Acme Solar IPO coming?
ACME Solar Holdings IPO is coming on November 6, 2024 and will close on November 8, 2024.
2. Who is the owner of Acme Solar?
ACME Solar Holdings was founded by Manoj Kumar Upadhyay.
3. What is the size of ACME Solar Holdings IPO?
The total issue size of the ACME Solar Holdings IPO is ₹2,900 crores.
Reference
https://www.sebi.gov.in/filings/public-issues/oct-2024/acme-solar-holdings-limited-rhp_88116.html
Author: All Content is verified by SMC Global Securities.
WHY SMC
- 20 Lac+ unique clients
- 33+ Years of Serving
- Advance Technical Analysis
- Free Demat Account
