Vishakha Renewables Files DRHP with SEBI for Rs 1250 Crore Fresh Issue IPO

Solar component manufacturer Vishakha Renewables Limited has submitted its Draft Red Herring Prospectus (DRHP) to the Securities and Exchange Board of India (SEBI) to raise capital through an Initial Public Offering (IPO).

The public offering will consist of a fresh issue of equity shares worth up to ₹1,250 crore and an Offer for Sale (OFS) of up to 1.82 crore equity shares by existing promoters and selling shareholders. Adani Properties Private Limited, part of the Gautam Adani-led conglomerate and a promoter in Vishakha Renewables, will be among the promoter entities selling shares through the OFS. In addition, the company may explore a pre-IPO placement of up to ₹250 crore, which would proportionately reduce the fresh issue size if completed.

Debt Reduction and Capital Deployment

The primary objective behind the fresh capital mop-up is debt deleveraging. Vishakha Renewables plans to deploy ₹900 crore from the net proceeds toward the repayment or pre-payment of certain outstanding borrowings, while the remainder will be allocated for general corporate purposes.

As of June 30, the company had consolidated outstanding borrowings of ₹2,700.57 crore. By retiring nearly a third of its debt pile through equity proceeds, the company seeks to lower its financing costs and bolster its balance sheet as it embarks on its next capital expenditure phase.

Manufacturing Scale and Market Footprint

Jointly promoted by the Vishakha Group and the Adani Group, the company operates manufacturing facilities strategically located in Mundra, Gujarat, near key port infrastructure and major solar ecosystem hubs.

According to a CRISIL report cited in the draft prospectus, Vishakha Renewables is the largest non-cell solar component manufacturer in India based on combined installed production capacity. It manufactures four of the six essential components used in solar module production:

• Solar Glass: India's second-largest manufacturer with an installed capacity of 660 tonnes per day (TPD), with an ongoing expansion aiming to scale up total capacity to 1,920 TPD (equivalent to 12.80 GW).
• Aluminium Frames: The largest manufacturer in India, boasting an installed capacity of 14,508.75 tonnes per annum (TPA).
• Encapsulants (EVA/EPE): The second-largest domestic manufacturer, operating with an installed capacity of 23.20 million linear metres.
• Backsheets: Positioned among the top 10 domestic manufacturers.

Collectively, these four product categories account for an estimated 40% to 45% of the average manufacturing cost of a bifacial solar module. The company also holds long-term take-or-pay supply contracts—ranging up to 15 to 17 years for solar glass and 8.5 years for aluminium frames—providing multi-year revenue visibility.

Financial Performance and Issue Managers

Financially, Vishakha Renewables registered significant growth over the past year. For the financial year ended March 31, the company clocked a consolidated revenue from operations of ₹1,893.4 crore, up 24.8% from ₹1,517 crore in the previous year. Consolidated net profit more than tripled to ₹173.4 crore, up from ₹56.5 crore in the prior fiscal period.

The book-running lead managers for the issue are:

• SBI Capital Markets
• ICICI Securities
• IIFL Capital Services

MUFG Intime India Private Limited has been appointed as the registrar to the issue.

Tags: Vishakha Renewables Adani Group SEBI IPO Renewable Energy Solar Power