Powerica IPO Day 2 update as subscription remains at 1% with review and GMP details

Powerica IPO, valued at ₹1,100 crore, is open for subscription from March 24 to March 27, with a price band of ₹375–₹395 per share, valuing the company at around ₹5,000 crore. Ahead of the issue, the company raised ₹329.40 crore from anchor investors, including major mutual funds and insurance companies. Powerica operates as a comprehensive power solutions provider, focusing on diesel generator sets (DG sets), medium-speed large generators (MSLG), and related services. The IPO comprises a fresh issue of ₹700 crore and an offer-for-sale of ₹300 crore by promoters, with ₹525 crore from the fresh issue allocated for debt reduction. The issue has reserved 50% for QIBs, 35% for retail investors, and 15% for NIIs, while the employee portion is up to ₹2 crore. The latest grey market premium (GMP) is ₹4, indicating an estimated listing price of around ₹399, slightly above the upper price band. Subscription on day 1 remained weak at around 1% overall. Analysts have mixed views, with some recommending it for long-term investment due to its strong business model and partnerships, while others advise caution due to declining profitability, dependence on key partners, and limited short-term listing gains. The allotment is likely on March 30, and the shares are expected to list on April 2, 2026.