The Powerica IPO, which opened for subscription on March 24, 2026, is facing significant challenges as it reports a mere 1% subscription rate. Retail Individual Investors contributed a subscription of only 0.01 times, while Non-Institutional Investors and Qualified Institutional Buyers recorded no subscriptions on the first day.
This IPO is a book-building issue with a total size of ₹1,100 crores, and the price band is set between ₹375 and ₹395 per share. Investors are required to apply for a minimum lot size of 37 shares to participate in the offering.
Despite the low subscription figures, the Grey Market Premium (GMP) for Powerica Limited is currently reported at ₹5. This indicates a slight positive sentiment in the grey market, although it does not reflect the overall demand from institutional and retail investors.
Powerica Limited, a key authorized dealer of Cummins India, has been providing power solutions since 1983, specializing in the manufacturing and supply of diesel and gas generator sets. The company plans to utilize ₹525 crores from the fresh issue to repay and prepay existing debt, which could potentially strengthen its financial position.
The IPO will remain open for subscription until March 27, 2026, with the allotment process expected to be finalized on March 30, 2026. Following this, shares are scheduled to be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) on April 2, 2026.
As of now, only 1% of the issue has been subscribed, raising concerns about investor interest and market conditions. The low subscription rate may affect the overall success of the IPO, and further developments will be closely monitored.
Details remain unconfirmed regarding the reasons behind the lack of interest from investors, but market analysts are speculating on various factors that could be influencing this trend.
