GK Energy shares list at nearly 12% premium to IPO price

Shares of GK Energy made a positive debut on the stock exchanges on Friday, September 26. The company's shares listed at ₹171 on the NSE, reflecting a premium of 11.76% over the IPO issue price of ₹153. On the BSE, the shares debuted at a premium of 7.8% at ₹165.

GK Energy made its debut on the bourses on Friday, September 26, after closing its IPO with strong investor demand. The issue, which comprised a fresh issue of ₹

400 crore and an offer for sale of ₹64.26 crore, was subscribed 93.6 times overall.

The ₹464.26 crore IPO of Pune-based GK Energy was open for subscription from September 19 to September 23.

The company, which specialises in engineering, procurement, and construction (EPC) for renewable energy projects, sold its shares in a fixed price band of ₹145-153, with a lot size of 98 shares.

Ahead of the IPO opening, the company raised ₹139 crore from anchor investors including Pinebridge, Prashant Jain's 3P India Equity Fund. The company allotted 91.03 lakh shares at the upper price band to marquee domestic and global institutions.

Other big names that came in through the anchor book include HSBC Flexicap Fund, Citigroup Global Markets Mauritius, Motilal Oswal Large Cap Fund, Bandhan Small Cap Fund, 1M, Edelweiss Equity Savings Fund, among others.

GK Energy's IPO comprises a fresh issue of ₹400 crore and an offer for sale of ₹64.26 crore by promoters.

The net proceeds from the IPO will primarily be used to meet long-term working capital requirements, estimated at around ₹322 crore. A portion of the funds will also be allocated for general corporate purposes.

GK Energy primarily operates as a focused EPC provider of solar-powered agricultural water pump systems. Its sales are divided into two main categories: direct-to-beneficiary sales and sales to other customers.

The company, one of the largest players in the government's PM-Kusum solar water pump scheme, has installed more than 62,000 solar-powered pumps across five states and reported revenues of over ₹1,095 crore in FY25, up from ₹285 crore in FY23. Profits also grew sharply to ₹133 crore in FY25.

IIFL Capital Services, and HDFC Bank were managing the GK Energy IPO as merchant bankers.