Adani-Backed Vishakha Renewables Files DRHP for Rs 1,250 Crore IPO to Cut Debt and Expand Capacity

Adani Group-backed 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 proposed offering features a fresh issue of equity shares aggregating up to ₹1,250 crore and an Offer for Sale (OFS) of up to 1.82 crore equity shares by promoters and existing shareholders.

The company is jointly promoted by the Vishakha Group and the Adani Group. Adani Properties Private Limited, a key promoter, will participate as a selling shareholder in the OFS portion. In addition, Vishakha Renewables is evaluating a pre-IPO placement of up to ₹250 crore; if completed, the fresh issue component will be reduced accordingly.

Fund Utilization and Capital Structure

A dominant share of the capital raised will be directed toward de-leveraging the company's balance sheet. According to the draft prospectus, Vishakha Renewables intends to utilize ₹900 crore from the fresh issue proceeds to prepay or repay outstanding borrowings, with the remaining capital earmarked for general corporate purposes.

As of June 30, 2026, the company reported consolidated outstanding borrowings of ₹2,700.57 crore. Retiring a significant tranche of this high-cost debt is expected to lower finance costs, improve operating margins, and provide financial headroom to support ongoing capital expenditure.

Operational Footprint and Market Standing

Vishakha Renewables operates manufacturing facilities in Mundra, Gujarat, located in close proximity to major port infrastructure and key offtakers. The company manufactures four of the six essential components required to assemble solar photovoltaic modules:

• Solar glass
• Aluminium frames
• Solar encapsulants (EVA/EPE)
• Backsheets

According to a CRISIL report cited in the draft filing, Vishakha Renewables is India’s largest non-cell solar component manufacturer by combined installed production capacity as of March 31, 2026. It ranks as the second-largest domestic solar glass manufacturer with an installed capacity of 660 tonnes per day, the second-largest EVA/EPE encapsulant producer with a capacity of 23.20 million linear metres, and the country's largest aluminium frame producer with 14,508.75 tonnes per annum capacity. Together, these four component lines make up an estimated 40% to 45% of the total manufacturing cost of a bifacial solar module.

Revenue Growth and Long-Term Offtake Visibility

The company’s financials have reflected significant traction alongside the broader push for domestic solar manufacturing in India. For the financial year ended March 31, 2026, Vishakha Renewables posted revenue from operations of ₹1,893.4 crore, marking a 24.8% increase compared to ₹1,517 crore in FY25. Net profit expanded substantially during the same timeframe, rising to ₹173.4 crore from ₹56.5 crore in the preceding fiscal year.

To secure demand stability, Vishakha Renewables has locked in long-term take-or-pay and minimum commitment offtake pacts with Mundra Solar PV Limited and Mundra Solar Energy Limited. These contracts include:

• A 15-year take-or-pay agreement for solar glass produced from its Phase I manufacturing line
• An 8.5-year supply agreement for aluminium frames
• A 17-year take-or-pay arrangement for solar glass from its upcoming Phase II capacity

Significance for Indian Market Investors

The proposed listing arrives amid strong primary market momentum, where institutional and retail investors have shown sustained appetite for clean technology and energy-transition plays. Historically, Indian equity markets have featured solar module developers and EPC contractors, but pure-play upstream component suppliers remain scarce.

While the long-term take-or-pay contracts offer structural revenue visibility, prospective investors will closely weigh execution timelines at Mundra, customer concentration dynamics, raw material price fluctuations, and import tariff policies that protect the domestic solar supply ecosystem.

The IPO's book running lead managers are SBI Capital Markets, ICICI Securities, and IIFL Capital Services, with MUFG Intime India Private Limited appointed as the registrar to the issue.

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