Powerica's not-so-powerful listing

A new listing today – Powerica. As against the IPO price of Rs.395, it got listed on the BSE at Rs.375, going down to Rs.365 and is now trading at Rs.386 levels.

The IPO had met with a not-so-good response. HNIs portion was subscribed 2.36x, QIBs at 4.5x and Retail at 0.15x, with overall subscription at 1.45x.

Powerica is a Mumbai based company engaged in two business segments - Generator Set Business and Wind Power.

In our IPO Anaysis, we had concluded - Powerica is a good power sector play, blending capital goods and renewable energy. Given short term volatility due to macro factors, the IPO is an ‘apply’ with a long term view.