Vikram Solar IPO: Bright Opportunity or Overheated?
Vikram Solar’s ₹2,080 crore IPO opens tomorrow at a price band of ₹315–332 per share. The issue includes a fresh issue of ₹1,500 crore and the rest via OFS. Proceeds will fund a new 3 GW solar cell and module plant in Tamil Nadu, with Phase 2 adding another 3 GW.
About the company:
One of India’s largest solar PV module manufacturers with 4.5 GW installed capacity.
97% of revenue comes from India, with marquee clients like NTPC, Adani Green, JSW Energy.
Plans to expand to 15.5 GW capacity by FY26, aiming to rival Waaree.
Financials (FY25):
Revenue: ₹3,423 cr (+36% YoY)
EBITDA: ₹492 cr (margin 14.4% vs 15.9% last year)
PAT: ₹140 cr (+1.5x YoY)
Strengths:
Strong domestic presence with PSU & private sector clients.
Aggressive capacity expansion plan.
Beneficiary of India’s renewable energy push.
Risks:
Lower margins than Waaree & Premier due to limited exports.
Global oversupply of solar modules.
Valuations appear stretched.
Takeaway: High growth potential, but margin pressure and rich valuations make it a calculated bet.
Competitors- Waaree
