IREDA Achieves All-Time High of Rs 215 on February 6, Now Trading 525% Above IPO Price.
Shares of the Indian Renewable Energy Development Agency (IREDA) saw a robust surge of over 6 percent in morning trading on July 1. This was driven by a significant 382.62 percent year-on-year increase in loan sanctions for the June 2024 quarter, totaling Rs 9,136 crore compared to Rs 1,893 crore a year earlier.
Additionally, the company’s loan disbursements rose by 67.61 percent year-on-year to Rs 5,320 crore from Rs 3,174 crore in the June 2023 quarter. The firm’s outstanding loan book expanded to Rs 63,150 crore in Q1FY25, marking a 33.77 percent increase from Rs 47,207 crore a year ago.
As of 10:04 am, IREDA stock was trading over 3 percent higher at Rs 197.48 on the National Stock Exchange (NSE). Year-to-date, the stock has surged by 88 percent, outperforming the Nifty’s 10 percent return by a substantial margin.
IREDA’s management disclosed to CNBC-TV18 today that the company intends to raise equity capital through a Follow-on Public Offer (FPO), pending government approval. The FPO is anticipated to occur between November of this year and February of next year, as the company seeks additional equity infusion.
IREDA initially launched its IPO in November last year, offering equity shares at Rs 32 each in the primary market. The stock debuted impressively, listing at a premium of 56.25 percent over the IPO issue price. Earlier this year on February 6, the PSU stock reached an all-time high of Rs 215, currently trading 525 percent above its issue price.
IREDA, categorized as a Mini Ratna (Category – I) government enterprise, operates under the administrative control of the Ministry of New and Renewable Energy (MNRE). For over 36 years, IREDA has been actively promoting, developing, and extending financial assistance for new and renewable energy projects, as well as energy efficiency and conservation initiatives.
