Bajaj Energy Limited, together with Lalitpur Power Generation Company Limited, is among India’s biggest private thermal generation firms with a track record of establishing, financing, and running thermal power plants. Bajaj Energy IPO will hit the market in 2021.
Bajaj Energy Limited is among the largest thermal power producers in Uttar Pradesh, with a focus on thermal power plant construction and operation. In Uttar Pradesh, they have 5 thermal power units with a combined capacity of 450 MW.
Table of Contents
Mission
Their moral framework motivates them to keep pushing the boundaries. They adhere to those principles that help them make a mark in order to reach their corporate goals.
To be an internationally respected entity that improves people’s lives by developing and distributing efficient and cheap power for public upliftment and long-term development of the nation.
Values
- Embrace the spirit of creativity and innovation to maintain business excellence.
- Optimal resource utilization.
- Returns to stakeholders are maximized.
- Recruiting, recruiting, and cultivating the company’s brightest minds.
- Procedures and activities that are both sustainable and environmentally friendly adhere to the highest ethical and moral principles possible.
- They have a positive effect on the communities they work in.
- Ensure the highest level of quality and protection.
Promoters
- Bajaj Power Ventures Private Limited
- Shishir Bajaj
- Minakshi Bajaj
- Kushagra Bajaj
- Apoorva Bajaj
Financials Trends
| Particulars | For the year/period ended ( in Cr.) | ||||
|---|---|---|---|---|---|
| 31-Dec-18 | 31-Mar-18 | 31-Mar-17 | 31-Mar-16 | ||
| Total Assets | 3,620.18 | 3,474.16 | 3,684.10 | 3,590.05 | |
| Total Revenue | 722.05 | 897.63 | 1,405.88 | 1,407.10 | |
| Profit After Tax | 39.56 | (3.40) | 107.71 | 102.84 | |
Basic and Diluted Earnings Per Share (EPS)
| Financial Period | Basic EPS (in INR) | Diluted EPS (in INR) | Weight |
| Financial Year 2018 | (0.07) | (0.07) | 3 |
| Financial Year 2017 | 2.38 | 2.38 | 2 |
| Financial Year 2016 | 2.27 | 2.27 | 1 |
| Weighted Average | 1.13 | 1.13 | |
| (9 months) Dec. 31, 2018 | 0.87 | 0.87 | – |
Issue
Bajaj Energy, headquartered in Uttar Pradesh has submitted Draft Red Herring Prospectus(DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of INR 5450 crore on 09 April, 2019.
The Offer includes a fresh equity of Rs. 5,150 crore and an offer for sale(OFS) up to Rs. 300 cr. value equity shares of face value of 10 per share, by the promoters.
They got approval from Securities and Exchange Board of India(SEBI) on 03 Sep, 2019 to float the initial public offering (IPO) in the market.
Objects of the Issue
- Prepayment / repayment of all or a portion of the outstanding borrowings of the company to be availed on consolidated basis.
- The funds from the IPO will be used to buy 6,99,36,900 equity shares of Lalitpur Power Generation Corporation from Bajaj Power Ventures and Bajaj Hindustan Sugar for Rs 4,972 crore.
- To meet common corporate objectives.
Basis of The issue
- One of Uttar Pradesh’s biggest solo power suppliers with long-term, controlled PPAs that include a take-or-pay feature
- A reliable fuel source.
- A track record of successfully creating, financing, and running thermal power plants;
- Well-positioned to profit from Uttar Pradesh’s power industry’s expansion and consumption;
- A well-established management team with a wealth of operational knowledge.
IPO Details
| IPO Opening Date | 2021 |
| IPO Closing Date | 2021 |
| Issue Type | Book Built |
| Face Value | 10 per share |
| IPO Price | 0 to 0 per equity share |
| Market Lot | 0 |
| Min Order Quantity | 0 |
| Listing At | BSE, NSE |
| Issue Size | 5450 cr. |
| Fresh Issue | 5150 cr. |
| Offer for Sale | 300 cr. |
IPO Tentative Date
Bajaj Energy IPO open date is 2021, and the close date is 2021. The issue may list in 2021.
| IPO Open Date | 2021 |
| IPO Close Date | 2021 |
| Basis of Allotment Date | 2021 |
| Initiation of Refunds | 2021 |
| Credit of Shares to Demat Account | 2021 |
| IPO Listing Date | 2021 |
Basis of Allotment
| Type | % of Offer | Basis of Allotment |
|---|---|---|
| Qualified Institutional Buyer | 50 |
Roughly
equivalent
|
| Non Institutional Investor | 15 |
Roughly
equivalent
|
| Retail | 35 | Minimum level of 1 lot, based on availability, for every shareholder. |
Promoter Holding
| Pre Issue Share Holding | 100% |
| Post Issue Share Holding |
Bajaj Energy IPO Brokerage views
- Yes Securities : Yet not updated
- Choice Brokering: Yet not updated
- Axis Securities: Yet not updated
- IIFL Securities: Yet not updated
- Trade swift: Yet not updated
- Anand Rathi : Yet not updated
- ICICI Securities: Yet not updated
Peer Comparison
| S. No. | Company Name | PE |
| 1 | Adani Power Limited | (8.87) |
| 2 |
Tata Power Limited
|
8.11 |
| 3 | NTPC Limited | 10.59 |
| 4 |
JSW Energy Limited
|
152.50 |
| 5 | Torrent Power Limited | 13.35 |
Bajaj Energy IPO Prospectus
Contact Details
Bajaj Energy Limited
Khambarkhera, Shardanagar Road,
Lakhimpur Kheri, Uttar Pradesh – 261 506
Tel: +91 22 2204 9056
E-mail: [email protected]
Website: https://www.bajajenergy.com/
Bajaj Energy IPO Registrar
Link Intime India Private Ltd
Link Intime India Private Ltd
C 101, 247 Park, L.B.S.Marg,
Vikhroli (West), Mumbai – 400083
Phone: +91-22-4918 6270
Email: [email protected]
Website: http://www.linkintime.co.in
Bajaj Energy IPO Lead Manager(s)
- Edelweiss Financial Services Limited
- IIFL Holdings Limited
- SBI Capital Markets Limited
- IDBI Capital Markets & Securities Limited
We hope we are able to answer all your questions about Bajaj Energy IPO. However, the IPO is delayed by the company for unknown reasons. It might come in first quarter of 2021. If you don’t have a Demat account, open it now with Zerodha best trading app.
Renunciation
The reference of IPO Grey Market Premium (IPO GMP) is only valid for the date specified in the header.
On the IPO Grey Market, we do not purchase or sell IPO forms.
The Kostak Rate is the profit earned by selling an IPO application (in an off-market transaction) to somebody else before the issue is allotted or listed.
Do not subscribe to an IPO based solely on the premium price, as it may alter at any time before to the listing. Only consider the fundamentals of the companies when subscribing.
The GMP rates for IPOs are based on market intelligence. Please keep in mind that these IPO GMP rates may vary by geography and market.
Note:
We do not engage in grey market trading or facilitate the purchase or sale of IPO forms.
What is grey Market?
The phrase “grey market” refers to an illegal over-the-counter market where IPO applications and IPO stock are traded before the entity is listed on a stock exchange. This is a technique for dealers to help consumers who wish to sell their home before it goes on the market.
This is also a way to increase the listing fee and provide help for the issue prior to the listing. In the IPO grey market, there are two types of transactions that take place:
- IPO stocks are traded at a premium in the grey market.
- At a kostak, an IPO application is traded.
What is grey Market Premium?
The Grey Market Premium, or GMP, is the price at which IPO stock shares are exchanged in the grey market.
This could be correct or incorrect, implying that the grey market trading price is greater or cheaper than the issue price, depending on demand and supply for the stocks.
Typically, individuals who do not want to incur the risk of their shares not being allocated through an IPO can purchase shares on the grey market in the hopes of flipping them on the IPO for a profit.
What is Kostak?
The additional amount in rupees at which IPO applications are sold in the IPO Grey Market is known as kostak (or price of application). The bonus of a maximum lot retail application in an IPO is generally described as the ‘Kostak’ value.
The Kostak price is significant primarily before the offer is closed for subscription and the ultimate bidding status is made accessible to IPO participants. After the final auction status is known to investors, only a small percentage of IPO applications are exchanged.
‘Kostak’ is made for those who do not want to incur a risk on an IPO or gain from a listing.
Example:
Bajaj Energy limited
Issue Price: Rs 306 Per Equity Share (Maximum Bid price)
Lot Size: 45
Grey Market Premium: Rs 220 to Rs 230
Kostak (Rs 13770): Rs 680 to Rs 720
This means Bajaj Energy limited applications of Rs 13770 are being traded in IPO Grey Market at Rs 680 to Rs 720.
Despite the fact that this IPO’s Grey Market Premium is roughly 75% of the issue price, the ‘Kostak’ is just 5% of the application value.
Kostak rate
The Kostak rate is the fee received by an investor who sells his or her IPO application on the grey market. Regardless of allotment status, this is the money an individual stands to gain.
Subject to Sauda
The money that an investor stands to gain by selling his or her application for firm allotment is referred to as the subject to Sauda. Firm allocation is the important operative phrase here. The sauda will be cancelled if the applicant is not allotted.
When selling an IPO application in the grey market, the client and seller agree that the sale will only be legal if the seller receives the allocation. The deal is avoided if the seller does not get any stocks throughout the IPO procedure.
FAQ
Bajaj Energy IPO Opening Date?
Bajaj Energy IPO will open in 2021.
Bajaj Energy IPO Listing Date?
Bajaj Energy IPO will list in 2021.
Bajaj Energy IPO GMP Today?
Bajaj Energy IPO Grey Market Premium is INR 0.
Bajaj Energy IPO Allotment Date?
Bajaj Energy IPO basis of allotment will be in 2021.
Lot size for Bajaj Energy IPO?
Lot size for Bajaj Energy IPO is 0 to 0.
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