The initial public offering of Fujiyama Power Systems reaches its final day of bidding today, November 17, marking the last opportunity for investors to participate in this ₹828-crore public issue. The IPO, which opened on Thursday, November 13, will accept bids until 5 pm today, concluding a subscription period that has seen moderate investor interest.
IPO Subscription Status: Mixed Response Across Categories
At the end of the second day of bidding, Fujiyama Power Systems IPO had achieved 40% overall subscription, indicating slow but steady demand. The breakdown reveals significant variation across investor categories. Qualified institutional buyers showed strongest interest with their portion fetching 81% subscription, while non-institutional investors remained cautious with only 10% participation. Retail investors demonstrated moderate interest with 28% subscription of their allocated segment.
Grey Market Sentiment and IPO Details
The grey market premium for Fujiyama Power Systems shares has remained completely flat at ₹0, suggesting the stock might list at its issue price without any premium. This tepid grey market response reflects the cautious investor sentiment surrounding the IPO.
The company has set the price band at ₹216 to ₹228 per share, with investors required to apply in lots of 65 shares. The IPO comprises a fresh issue of equity shares worth up to ₹600 crore and an offer for sale of 10 lakh shares by promoters, valued at ₹228 crore at the upper price band.
Brokerage Views and Company Fundamentals
Leading brokerages have expressed cautious optimism about Fujiyama Power Systems despite the lukewarm market response. Anand Rathi highlighted the company's positioning as a significant beneficiary of government initiatives including Rooftop Solar Scheme Phase II, PMKUSUM, and PM Surya Ghar-Muft Bijli Yojna. The brokerage noted that at the upper price band, the company is valued at a P/E of 45x FY25 EPS, implying a post-issue market capitalization of ₹69,862 million.
Canara Bank Securities echoed similar sentiments, describing Fujiyama Power Systems as a comprehensive solar energy player with strong brand equity and nationwide distribution. The brokerage emphasized the company's patented rMPPT technology and upcoming 1 GW monoPERC solar cell facility at Dadri, expected by January 2026, as key growth drivers.
Both brokerages have rated the IPO as "Subscribe – Long Term" while acknowledging that valuations appear fully priced compared to industry peers. The company plans to utilize fresh proceeds for establishing a manufacturing facility in Ratlam, Madhya Pradesh, repayment of borrowings, and general corporate purposes.
Based in Greater Noida, Fujiyama Power Systems specializes in manufacturing products and providing solutions in the rooftop solar industry, including on-grid, off-grid, and hybrid solar systems. The company's alignment with India's renewable energy expansion provides long-term growth visibility despite current market caution.
