Vikram Solar, a prominent solar module manufacturer and EPC solutions provider has recently received approval from the Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO). This move signifies a significant milestone for the company, as it aims to expand its operations and strengthen its position in the rapidly growing solar energy market.
The IPO incorporates a sparkling difficulty of as much as ₹15 billion (~$188.9 million) and an offer-for-sale (OFS) of as much as 5 million equity shares through the promoting shareholders. According to the draft papers, the proceeds from the fresh issues will be applied to the installation of an integrated solar cell and module production facility with an annual manufacturing facility of 2 GW. This enlargement will allow Vikram Solar to cater to the increasing demand for solar energy solutions and contribute to the country’s renewable energy goals.
Vikram Solar, which filed a draft red herring prospectus with the market regulator in March, received its statement letter on August 10, 2022. JM Financial and Kotak Mahindra Capital Company are the book-running lead managers for the public issue. The equity shares could be listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE), offering an opportunity for investors to take part in the company’s growth story.
Gyanesh Chaudhary, Vice Chairman and Managing Director of Vikram Solar expressed his optimism about the company’s future prospects. In an interview with Mercom, Chaudhary highlighted that Vikram Solar’s manufacturing unit in Tamil Nadu has a 1.3 GW annual solar module manufacturing capacity. With the addition of new capacity, the company’s cumulative PV module manufacturing capacity reached 2.5 GW. Chaudhary also revealed plans to add another 3 GW of integrated module, cell, and wafer manufacturing capacity in the next five years at the manufacturing unit in Tamil Nadu.
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Vikram Solar is well-placed within the solar energy sector, with a robust recognition for innovation, quality, and sustainability. The company is one of the leading domestic module producers, generating solar photovoltaic modules and presenting incorporated solar energy solutions, together with EPC services, operations and preservation services. Vikram Solar’s commitment to excellence has earned it a niche among a few of the pinnacle 5 application-scale EPC provider-presenting agencies within the calendar year 2021, in keeping with Mercom’s India Solar Market Leaderboard 2022.
The company’s expansion plans, sponsored with the aid of SEBI’s nod for Vikram Solar IPO, are anticipated to similarly bolster its position inside the marketplace. The additional manufacturing capacity will permit Vikram Solar to satisfy the growing demand for solar power solutions, both in India and internationally. Moreover, the agency’s focus on studies and improvement will ensure that it stays at the forefront of technological improvements in the solar power sector.
In end, Vikram Solar’s successful acquisition of SEBI’s nod for its IPO marks a great leap forward for the organization. Raise funds for business through the IPO might be instrumental in facilitating the company’s growth plans, permitting it to increase its manufacturing capability and strengthen its role in the solar power marketplace. With a sturdy awareness of innovation, excellence, and sustainability, Vikram Solar is poised to retain its growth trajectory and make contributions to the global transition towards renewable energy sources.
