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14 Jun, 2025
Vikram Solar Ltd, a leading solar photovoltaic (PV) module manufacturer based in Kolkata, has received approval from the Securities and Exchange Board of India (SEBI) to launch its initial public offering (IPO) worth ₹1,500 crore. This IPO comes at a crucial time as India pushes aggressively toward renewable energy targets and strengthens its domestic solar manufacturing capabilities. The public listing will enable Vikram Solar to raise funds for capacity expansion, technological innovation, and to meet growing demand both domestically and internationally.
The IPO will consist of a fresh issue of shares aggregating up to ₹1,500 crore, which will directly infuse capital into the company. Alongside this, promoters will offer up to 17.45 million equity shares through an offer for sale (OFS), allowing existing shareholders to partially monetize their holdings. The exact dates for the IPO opening and closing, as well as the price band, are yet to be announced. The face value of each share is set at ₹10. This dual structure ensures that Vikram Solar secures fresh capital for its ambitious growth plans while providing liquidity to early investors.
A significant portion of the funds raised, approximately ₹793 crore, will be directed to Vikram Solar’s subsidiary, VSL Green Power Pvt Ltd, to develop a cutting-edge solar manufacturing facility. This new plant will have an initial production capacity of 3,000 megawatts (MW) each for solar cells and modules. In addition, the company plans to invest around ₹603 crore in Phase II of the project to double the module manufacturing capacity from 3,000 MW to 6,000 MW. These expansions are vital to meet the surging demand for solar products as India accelerates its renewable energy adoption and aims to reduce dependence on imports.
Vikram Solar has earned a reputation for technological innovation in the solar sector. Its product portfolio includes advanced solar modules such as N-type monocrystalline silicon-based TOPCon (Tunnel Oxide Passivated Contact) and HJT (Heterojunction) modules, which are known for their superior efficiency and performance. The company also manufactures P-type monocrystalline silicon-based PERC (Passivated Emitter Rear Contact) modules, which offer a cost-effective and reliable solution. This diverse and technologically advanced product range positions Vikram Solar as a leader in India’s solar manufacturing ecosystem, catering to varied customer needs and enhancing competitiveness in both domestic and export markets.
Vikram Solar has demonstrated strong financial growth in the recent fiscal year. For FY24, the company reported revenue of ₹2,510.99 crore, marking a 21.11% increase from ₹2,073.23 crore in FY23. Its earnings before interest, taxes, depreciation, and amortization (EBITDA) surged to ₹398.58 crore, more than doubling from ₹186.18 crore the previous year. This financial performance reflects increased sales volume, operational efficiencies, and growing market acceptance of Vikram Solar’s products. The company’s healthy margins and expanding top line underscore its solid business fundamentals and growth potential.
Currently, Vikram Solar operates with an installed manufacturing capacity of 4.5 gigawatts (GW) for solar modules. The company has set an ambitious target to expand this capacity to 10.5 GW by FY26 and further to 15.5 GW by FY27. A key part of this expansion is the development of a 3 GW solar cell manufacturing facility in Tamil Nadu, which will enhance vertical integration and reduce reliance on imported cells. These capacity enhancements will enable Vikram Solar to meet rising demand from India’s growing solar market and strengthen its position as a major global player in renewable energy manufacturing.
The IPO is being managed by a consortium of reputed investment banks, including JM Financial, Nuvama Wealth Management, UBS Securities India, Equirus Capital, and PhillipCapital. Link Intime India has been appointed as the registrar for the issue. The timing of the IPO is favorable given the government’s strong push for domestic manufacturing under initiatives like ‘Make in India’ and the National Solar Mission. With India’s solar capacity targets set to increase substantially in the coming years, Vikram Solar’s IPO offers investors an opportunity to participate in one of the fastest-growing sectors of the economy.
Vikram Solar’s ₹1,500 crore IPO is a landmark event for the company and the Indian renewable energy sector. With strong financials, cutting-edge technology, and aggressive capacity expansion plans, Vikram Solar is well-positioned to capitalize on the growing demand for solar energy solutions. The IPO proceeds will fuel the company’s growth ambitions, enabling it to scale up manufacturing, innovate further, and contribute significantly to India’s clean energy goals. As the company prepares for its public listing, investors and market watchers will be keenly watching for pricing details and subscription response, which will set the tone for the future of solar manufacturing in India.
