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The Powerica Limited IPO, which opened on March 24, 2026, is currently facing challenges, with only 1% of the issue subscribed as of now. This low subscription rate raises concerns about investor interest in the offering, which is a book-building issue valued at ₹1,100 crores.

The IPO is set to remain open for subscription until March 27, 2026, with a price band fixed between ₹375 and ₹395 per share. Investors must apply for a minimum lot size of 37 shares, making the entry point for retail investors relatively accessible.

On the first day of the IPO, subscription figures were disappointing, showing only 0.01 times for Retail Individual Investors and no subscriptions from Non-Institutional Investors or Qualified Institutional Buyers. This stark contrast to expectations indicates a cautious market sentiment.

Adding to the complexity, the Grey Market Premium (GMP) for Powerica Limited is reported at ₹5, a figure that suggests limited speculative interest in the shares ahead of their listing. The allotment process is expected to be finalized on March 30, 2026, with shares scheduled to be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) on April 2, 2026.

Powerica Limited has been a significant player in the power solutions sector since 1983, serving as an authorized dealer for Cummins India. The company plans to utilize ₹525 crores from the fresh issue to repay and prepay debt, which could improve its financial health.

As the IPO progresses, market analysts will be closely monitoring the subscription rates and overall investor sentiment. The current subscription figures suggest that Powerica Limited may need to engage in further marketing efforts to attract potential investors.

Details remain unconfirmed regarding the impact of the low subscription rate on the company’s future plans and investor confidence. Stakeholders are eager to see how the situation unfolds in the coming days.