ACME Solar Holdings and Sagility India launched their IPOs in the first week of November. Sagility India has raised Rs 2,106.60 crore while ACME Solar Holdings has aimed to raise Rs 2,900 crore. The former is purely an OFS while the latter is a combination of fresh issue and OFS. Are you confused about which one to choose? Here are some points to look at:
ACME Solar Holdings on valuation front
The company has a price-to-book value of 7.77. To compare, Adani Green Energy has a P/BV of 25 while the recently listed Waree Energies has a P/BV of 56.68.
Another key ratio price to earnings of ACME Solar Holdings stands at 30.17x at the upper price band. To compare with peers, Adani Green Energy has a P/E ratio of 234.4x while Waree Energies has 90.04x. The industry’s P/E ratio stands at 130.71x.
Its earnings per share before IPO is 13.36 and post-IPO 0.09. Adani Green Energy’s EPS stands at 8 while that of Waaree Energies comes in at 44.
About ACME Solar Holdings
ACME Solar Holdings is a large renewable energy player well positioned to capitalize on strong industry tailwinds with end-to-end value chain capabilities and an integrated approach to developing renewable power projects by in-house project development, engineering, procurements, construction, operations and maintenance teams. The company has an expansive portfolio diversified across different renewable energy technologies with long-term stable cash flows based on contracts with central and state government entities along with design and value engineering leading to higher efficiencies.
“…with an EV/EBITDA of 22.4x and market cap of Rs 17,486.8 crore post issue of equity shares and a return on net worth of 26.93%. We believe that the IPO is richly priced and recommend a “Subscribe-Long term” rating to the IPO,” said Anand Rathi Research in an IPO report.
Sagility India on Valuation Front
The company’s price-to-book value stands at 2 and price-to-earnings at 61.52. Sagility India’s debt-to-equity stands at 0.15 and earnings per share at 0.5 times.
About Sagility India
Sagility India specializes in healthcare technology services, strategically positioned at the intersection of healthcare and digital innovation. With a focused approach in this dynamic sector, the company has attracted strong investor interest, including pre-IPO funding from notable backers such as Adani Properties.
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