The Fujiyama Power Systems IPO, launched in November 2025, is attracting close scrutiny from investors — especially as it has drawn surprisingly muted responses in the grey market. In this post, we analyze the IPO’s structure, key financials, grey market premium (GMP) trends, subscription status, and whether this issue merits your investment consideration.
What Is Fujiyama Power Systems?
Fujiyama Power Systems is a Noida-based company operating in the rooftop solar space. Its portfolio spans a wide range of solar-energy products: on-grid and off-grid solar inverters, panels, lithium-ion and tubular batteries, and other power management solutions.
IPO Details: Size, Price Band & Purpose
Here are the key structural details of the IPO:
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IPO Size: ₹828 crore
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Fresh Issue: ₹600 crore
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Offer for Sale (OFS): ₹228 crore
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Price Band: ₹216–₹228 per share
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Lot Size: 65 shares (retail application)
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Subscription Timeline: November 13 to November 17, 2025
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Tentative Listing Date: November 20, 2025, on both BSE and NSE.
Use of Proceeds: According to the company’s prospectus, Fujiyama plans to use the net issue proceeds to:
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Part-finance a manufacturing facility in Ratlam, Madhya Pradesh (₹180 crore)
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Repay or prepay existing debt (₹275 crore)
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Use the remaining funds for general corporate purposes.
Financial Performance & Growth
Fujiyama has shown strong financial momentum:
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Its revenue more than doubled from FY23 to FY25 (from ₹6,641 million to ₹15,407 million).
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EBITDA saw a significant jump, and profit-after-tax (PAT) expanded from ₹244 million in FY23 to ₹1,563 million in FY25 — improving operating margins.
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The company also has a wide and deep distribution network across India: over 725 distributors, 5,500 dealers, and 1,100 franchise “Shoppe” outlets.
Given its robust growth and clear business model in the rooftop solar segment, many analysts see long-term potential.
Grey Market Premium (GMP) – Why It Matters
GMP is a measure of investor sentiment in the unlisted grey market — it indicates whether the IPO shares are trading at a premium or discount before listing.
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As of the IPO launch, Fujiyama Power Systems’ GMP was flat (₹0).
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Even on the eve of the IPO, the GMP remained at zero.
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A zero GMP suggests that secondary-unlisted-market traders don’t expect a strong listing pop: there’s no premium being priced in, implying limited speculative demand.
Subscription Status
The subscription for the IPO has been fairly weak:
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On Day 1, the IPO was subscribed just 9%.
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By November 14, it had climbed to 40% overall (1.04 crore bids against 2.63 crore shares) according to Business Standard.
This muted demand corroborates the lack of GMP — both suggesting cautious market sentiment.
Analyst Views & Investor Take
Despite the lack of grey-market enthusiasm, several research houses remain bullish on Fujiyama Power’s long-term trajectory.
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Strong Fundamentals: High-growth rooftop solar business with improving financials.
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Expansion Plans: Building a newer manufacturing facility, which could scale up capacity.
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Debt Reduction: Use of IPO proceeds to reduce borrowings should strengthen the balance sheet.
However, some risk factors remain:
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The IPO may be fully priced, which could limit listing-day gains.
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The lack of GMP and weak subscription could dampen enthusiasm and reflect tepid near-term demand.
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Execution risk tied to the new manufacturing facility and debt repayment.
Should You Apply?
Here are a few investment-logic scenarios:
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Long-term Investor: If you believe in the future of solar energy in India, this IPO could be a good play. The company’s growth story, network, and financials are promising.
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Short-term / Listing Gain Seeker: Be cautious. With a GMP of ₹0 and weak subscription, the potential for a huge listing pop seems limited.
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Risk-Averse Investor: Wait for allotment details, listing price, and peer IPO performances before betting heavily.
As always, consult your financial advisor, go through the company’s red-herring prospectus (RHP), and evaluate whether the risk-reward aligns with your investment goals.
Conclusion
The Fujiyama Power Systems IPO is not your typical high-hype issue. While the company presents a compelling business model in the rooftop solar space, the zero GMP and subdued subscription reflect a cautious market. For investors with a long-term horizon and conviction in the renewables sector, this could be a strategic entry point. But for short-term gamblers, the IPO might not offer the fast upside they hope for.
