IPO Snapshot: Saatvik Green Energy

Saatvik Green Energy is launching a ₹900 crore IPO. The price band has been set between ₹442 and ₹465 per share. The IPO consists of a fresh issue of ₹700 crore and an Offer for Sale (OFS) of ₹200 crore. The issue is open from 19 September to 23 September 2025. It is proposed to have its listing on both the NSE and the BSE.

Subscription Status by Day 3

By about 11:00 AM on Day 3, the IPO had been booked 1.25 times overall. Retail investors had subscribed to their portion 1.76 times, while the Non-Institutional Investor (NII) segment was at 1.68 times. The Qualified Institutional Buyer (QIB) portion, however, was still very lightly subscribed, at 0.02 times.

By the end of Day 2, the IPO was fully subscribed at 1.09 times, driven mainly by strong retail participation.

Also Read: GK Energy IPO Subscribed 6.4 Times on Day 2; Grey Market Premium at ₹22

Grey Market Premium (GMP) Trends

The GMP for Saatvik Green Energy has shown a sharp drop. Earlier, it was as high as roughly ₹78 in the grey market, but by Day 3 it had fallen to about ₹9. This ₹9 premium corresponds to a ~2% potential gain for investors if listing occurs at that implicit level.

Valuation & Analyst Views

Analysts are giving the IPO a “Subscribe” tag, especially for those with a medium to long-term horizon. One brokerage, Canara Bank Securities, noted that Saatvik is expanding its module manufacturing capacity, integrating solar-cell manufacturing, and gradually moving into raw-material making. They consider valuation metrics at the IPO price band to be relatively priced versus industry averages. For example, at the top price of ₹465, metrics like P/E and P/B are lower compared to many peers.

Another broker, Kunvarji Finstock, also recommended subscribing with a medium-to-long term view, pointing out the company’s scale in the solar photovoltaic module market and expected demand for panels and cells.

Strengths & Weaknesses from Trends

The strength of the IPO lies in its strong retail demand, clear plan for fund utilisation (capacity expansion, debt repayment, OFS), and relatively reasonable valuation vs peers. The fact that the retail segment is oversubscribed more than the overall market also indicates confidence among smaller investors.

The weakness or risk is the drop in GMP, suggesting that grey market sentiment is cooling. Also, the very low QIB subscription so far indicates institutional investors are hesitant, which may reflect concerns about growth being slower or overvaluation risk in the short term.

Good or Bad for Investors?

For investors considering this IPO, here are key takeaways:

If you are looking for a short-term listing pop, the reduced GMP to ₹9 means that expectations have been tempered. The modest grey market premium suggests that while listing gains may exist, they might not be large.

If your time frame is medium to long term (1-3 years or more), the IPO looks more promising, given the company’s expansion plans, its valuation being relatively modest vs sector peers, and strong demand from retail investors.

Key Highlights

• Saatvik Green Energy IPO Subscription Status: On Day 3, the IPO was subscribed 1.25 times overall, with retail at 1.76x, NIIs at 1.68x, and QIBs at only 0.02x.
• IPO Size & Price Band: The IPO is valued at ₹900 crore, with a fresh issue of ₹700 crore and an OFS of ₹200 crore. The price band is fixed at ₹442–₹465 per share.
• Grey Market Premium (GMP): GMP slipped sharply from earlier highs of ₹78 to ₹9 on September 22, signaling only a ~2% expected listing gain.
• Anchor & Retail Demand: Strong retail participation continues to drive subscriptions, while institutional demand remains muted so far.
• Analyst Recommendations: Brokerages like Canara Bank Securities and Kunvarji Finstock recommend a Subscribe rating, especially for medium to long-term investors, citing capacity expansion and valuations lower than peers.
• Investor Sentiment: While listing gains may be limited, long-term prospects look stronger given the company’s expansion in solar module and cell manufacturing.

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Saatvik Green Energy IPO