Vikram Solar Boosts Production Capacity to 4.5 GW Ahead of Upcoming IPO

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Ahead of IPO, Vikram Solar Expands and Upgrades Production Capacity to 4.5 GW

By Rajat Bhati – February 21, 2025

Solar panel manufacturer Vikram Solar has announced an expansion of its production capacity in preparation for its upcoming IPO. The company’s total production capacity has now increased to 4.5 gigawatts, following the addition of a new 1-gigawatt production unit at its facility in Falta, West Bengal. Significant upgrades have also been made to its plant in Tamil Nadu.

Vikram Solar recently received approval from SEBI to move forward with its IPO, which is expected to open for investors in the coming weeks.

A Significant Leap in Solar Manufacturing

Prior to this expansion, Vikram Solar’s Falta and Oragadam factories had a combined installed capacity of 3.5 GW. The new 1 GW unit is a crucial component of the company’s growth strategy, demonstrating Vikram Solar’s commitment to aggressively expand its operations as the IPO approaches. This move is likely to boost investor confidence in the company.

The expansion at the Falta facility began on December 5, 2024, while updates at the Oragadam facility were initiated on July 19, 2024. These improvements allow the plant to manufacture advanced solar module technologies, specifically TOPCon and HJT, which enhance the efficiency and product offerings of Vikram Solar.

Vikram Solar IPO – Details

The upcoming IPO will consist of a fresh issue of INR 1,500 crore and an offer for sale of 1,74,50,882 equity shares from selling shareholders. JM Financial, Nuvama Wealth Management, UBS Securities India, Equirus Capital India, and PhillipCapital India have been appointed as the book-running lead managers for the issue. Link Intime India will serve as the registrar.

Use of IPO Funds

The company plans to allocate the IPO funds as follows:
– Phase-I Project: INR 793.36 crore will be used to partly fund capital expenses.
– Phase-II Project: INR 602.95 crore is designated for further capital expenditures.
– General Corporate Purposes: The remaining funds will be utilized for general business needs, though the exact amount has not been specified.

Driving Sustainable Innovation

Gyanesh Chaudhary, the Chairman & Managing Director of Vikram Solar, expressed optimism about the impact of this expansion on the renewable energy sector. “The manufacturing expansions in Kolkata and Chennai will enhance our production capabilities and enable us to provide sustainable energy solutions. Both projects utilize advanced manufacturing techniques that meet international quality and sustainability standards, allowing us to deliver high-quality solar panels, which aligns with the vision of Atmanirbhar Bharat.”

This expansion supports India’s Atmanirbhar Bharat initiative, aimed at reducing dependence on conventional energy sources and achieving a target of 500 GW of renewable energy by 2030.

Strategic Growth and Industry Recognition

Vikram Solar has been recognized as a top performer in PVEL’s PV module reliability scorecard and has also secured a place among BloombergNEF’s Tier 1 solar PV module manufacturers. The company boasts an extensive distribution network in India, comprising 67 system integrators, 64 dealers, and 41 company-authorized distributors.

Looking Ahead

With this latest expansion, Vikram Solar is poised to meet the growing demand for advanced solar technology while reinforcing its commitment to sustainability. The incorporation of new technologies at both facilities ensures that the company remains competitive in the challenging solar PV industry.

For more information on IPO GMP, SEBI IPO approval, and live subscription updates, stay tuned to IPO Central.
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