Fujiyama Power Systems made its stock market debut on November 20. The shares opened at ₹218.40 on the BSE, reflecting a 4.21% decrease from the IPO price of ₹228. On the NSE, shares started at ₹220, a 3.51% drop. At the time of listing, the company’s market capitalization was approximately ₹6,692 crore. Prior to listing, the stock displayed only a minor Grey Market Premium (GMP). According to Investorgain, the GMP was 0.22% above the IPO price. On the day allotments were finalized, the GMP was higher at 1.32%, but it has since declined. IPO Watch reported a slightly elevated GMP of 0.43%. The ₹828-crore IPO garnered moderate interest, being oversubscribed by just over 2 times between November 13 and 17.
The offering comprised a fresh issue of ₹600 crore and an offer for sale of 10 lakh shares valued at ₹228 crore (upper price band), with a price range set between ₹216 and ₹228. The funds raised through the IPO are earmarked for ₹180 crore towards establishing a new plant in Ratlam, Madhya Pradesh, and ₹275 crore for debt repayment, with the remainder allocated for general corporate purposes. Market expert Narendra Solanki recommends holding the stock for the long term, contingent on the investor’s risk tolerance, given the company’s comprehensive rooftop solar solutions, including solar inverters, panels, batteries, controllers, and electric vehicle products such as E-rickshaw chargers and lithium-ion batteries.
The company primarily operates through a B2C distribution model and has four manufacturing facilities with in-house research and development. At the peak price band, the company is valued at roughly 45 times its FY25 earnings.
