"We believe the listing premium is justified on the back of the company being tagged as leading PSU player in renewable energy financing and advisory services and a possible upgradation from a Mini Ratna to a Navratna company in near future which increases financial autonomy, allowing it to accelerate faster in the competition," said Prashant Tapse of Mehta Equities.
IDBI Capital Markets, BoB Capital Markets and SBI Capital Markets are the book running lead managers to the issue, while Link Intime India is the registrar for the issue.
IREDA shares are commanding a premium of Rs 10 in the unlisted market as against an offer price of Rs 31. Most analysts recommend subscribing to the initial public offering of Miniratna company IREDA, given that its the largest pure-play in green energy financing and also gives an opportunity to bet on the countrys renewable energy goals.
IREDA is Indias largest pure-play green energy financing NBFC and plays a strategic role in the development of renewable energy with a comprehensive suite of financial products and other value chain activities, such as equipment manufacturing and transmission.