VIKRAM SOLAR IPO
Quick Overview of the Investment Opportunity
| IPO Period | 19th – 21st August 2025 |
|---|---|
| Listing on | 26th August 2025 |
| Price Band | ₹315 – ₹332 per equity share |
| Lot Size & Minimum Investment | 45 shares, amounting to ₹14,940 |
| Total Issue Size | ₹2,079.37 crores |
Vikram Solar Limited, a prominent player in India’s rapidly expanding renewable energy sector, is set to launch its Initial Public Offering (IPO) from August 19th to August 21st, 2025. This IPO offers investors an opportunity to participate in one of the country’s largest solar photovoltaic (PV) module manufacturers. The company has fixed the price band for its equity shares at ₹315 to ₹332, with a minimum application lot size of 45 shares, translating to a minimum investment of ₹14,940. With a total issue size of ₹2,079.37 crores, the IPO aims to bolster Vikram Solar’s manufacturing capabilities and support its ambitious growth plans in both domestic and international markets.
Important Dates for Investors
Prospective investors should mark the following key dates on their calendars to ensure timely participation and tracking of the Vikram Solar IPO process:
- Opening Date: 19th August 2025
- Closing Date: 21st August 2025
- UPI Payment Deadline: 21st August 2025 (5:00 PM IST)
- Allotment Announcement: 22nd August 2025
- Refund Processing: 25th August 2025
- Demat Credit: 25th August 2025
- Stock Market Listing: 26th August 2025
- Mandate Validity End: 05th September 2025
- Anchor Investor Lock-in Release (50%): 21st September 2025
- Anchor Investor Lock-in Release (Remaining): 20th November 2025
*Dates may be revised as per official updates and regulatory requirements. Investors are advised to refer to the official RHP for any changes.
Deep Dive into Vikram Solar Limited
Founded in 2005, Vikram Solar has rapidly emerged as a key contributor to India’s renewable energy landscape. The company operates in the solar photovoltaic (PV) module manufacturing sector, specializing in the production of high-efficiency PV modules, alongside offering comprehensive Engineering, Procurement, and Construction (EPC) services and Operations & Maintenance (O&M) services. With an impressive installed capacity of 3.50 GW as of March 31, 2024, Vikram Solar stands as one of India’s largest manufacturers in this domain.
Leveraging over 15 years of rich industry experience, the company serves a diverse client base across domestic and global markets, including esteemed names such as National Thermal Power Corporation (NTPC), Neyveli Lignite Corporation, ACME, and Azure Power. Vikram Solar’s operational footprint includes state-of-the-art manufacturing facilities located in West Bengal and Tamil Nadu, underscoring its commitment to domestic production capabilities. The company is widely recognized for its consistent innovation, its prestigious Tier-1 BloombergNEF ranking (a testament to its bankability and quality), and its extensive enlistment in the Approved List of Models and Manufacturers (ALMM). These achievements collectively position Vikram Solar as a trusted and pivotal partner in driving India’s ambitious renewable energy transition.
Understanding the Fundraising Structure
| Total Funds Raised | ₹2,079.37 crores |
|---|---|
| Fresh Issue Component | ₹1,500 crores |
| Offer for Sale Component | ₹579.37 crores |
The Vikram Solar IPO comprises a total issue size of ₹2,079.37 crores. This amount is structured with a fresh issue component of ₹1,500 crores, which represents new shares being issued by the company. The proceeds from the fresh issue will directly flow into the company’s coffers, intended for funding its growth initiatives and strategic objectives. Additionally, the IPO includes an Offer for Sale (OFS) of ₹579.37 crores, where existing shareholders will sell their shares. While the OFS proceeds do not accrue to the company, the overall IPO size reflects significant investor interest and facilitates liquidity for early investors.
For a thorough understanding of the company’s financial health, including historical revenue growth, profitability trends, and other key financial indicators, investors are strongly encouraged to review the detailed financial statements available in the Red Herring Prospectus (RHP) of Vikram Solar Limited.
Strategic Deployment of Capital
The capital raised through the fresh issue component of the IPO is earmarked for critical growth and expansion plans, primarily focused on enhancing Vikram Solar’s manufacturing capacities. The planned utilization of proceeds is as follows:
| Objective | Amount (INR Crores) | Allocation % |
|---|---|---|
| Partial funding of capital expenditure for the Phase-I project | 793.36 | 53% |
| Funding of capital expenditure for the Phase-II project | 602.95 | 40% |
| General corporate purposes | 103.69 | 7% |
A significant portion of the funds, 93%, is allocated towards capital expenditure for the company’s Phase-I and Phase-II projects. This substantial investment in expanding manufacturing capabilities highlights Vikram Solar’s strategic vision to scale up its production of solar PV modules, meet growing demand, and consolidate its position in the market. The remaining 7% allocated for general corporate purposes provides the company with flexibility to address various operational needs, support business development, and pursue other strategic initiatives as they arise, ensuring sustainable growth and operational efficiency.
Competitive Advantages of Vikram Solar
Vikram Solar’s strong market position is underpinned by several compelling competitive strengths:
- Leadership in Manufacturing Capacity: As one of India’s largest solar PV module manufacturers with a 3.50 GW capacity, the company possesses significant scale and production capabilities, allowing it to meet large-scale demand and benefit from economies of scale.
- Robust R&D and Quality Control: The company’s commitment to strong Research & Development (R&D) and stringent quality control systems ensures the production of high-efficiency, reliable, and durable solar modules, giving it a technological edge.
- High Technical Expertise: With deep technical expertise in solar PV module manufacturing, Vikram Solar can innovate and adapt to evolving industry standards and technological advancements, maintaining its competitive advantage.
- Established Market Presence: A well-established presence in both domestic and international markets provides a diversified revenue stream and reduces reliance on a single geographical segment, offering stability and growth opportunities.
- Strong Brand Recognition and Customer Loyalty: A reputable brand name coupled with a loyal customer base, including marquee clients like NTPC and Azure Power, reflects trust in its product quality and service delivery.
- Customer-Centric Approach: A deep understanding of customer needs and a continuous focus on product quality enable the company to deliver tailored solutions and maintain high customer satisfaction, fostering long-term relationships.
Key Risk Factors to Consider
While Vikram Solar presents a compelling growth story, investors should also be aware of certain potential risks:
- Raw Material Supply Chain Volatility: The absence of long-term contracts with suppliers for critical raw materials introduces uncertainty regarding their availability and pricing, which could impact production costs and schedules.
- Subsidiary Performance: Reports of losses in some subsidiaries in recent years could potentially impact the consolidated financial performance and overall reputation of the group.
- Reliance on Key Markets/Entities: Heavy reliance on Vikram Solar US Inc. for sales in the United States implies a concentration risk. Any adverse developments or disruptions in the US market or to the operations of this subsidiary could significantly impact the company’s business.
- Project Execution Risks: As an EPC provider, the company is exposed to risks related to cost estimation errors, project delays, or unforeseen challenges in executing large-scale projects. Such issues could adversely affect its financial performance and cash flow.
Latest Subscription Data
The subscription statistics provide insight into investor interest across different categories. As of 5:00 PM on August 21st, 2025, the Vikram Solar IPO witnessed robust demand:
| Investor Category | Shares Reserved (Lakhs) | Shares Applied (Lakhs) | Subscription (Times) |
|---|---|---|---|
| Qualified Institutional Buyers (QIB) | 124.66 | 18088.16 | 145.10x |
| Non-Institutional Investors (NII) | 93.49 | 4943.50 | 52.87x |
| Retail Individual Investors (RII) | 218.15 | 1741.07 | 7.98x |
| Employees | 3.01 | 15.35 | 5.10x |
| Total | 439.32 | 24788.10 | 56.42x |
The IPO has garnered significant interest from Qualified Institutional Buyers (QIBs), with this segment being subscribed over 145 times. Non-Institutional Investors (NIIs) also showed strong participation, subscribing over 52 times, while the retail portion was subscribed nearly 8 times. The employee category also saw healthy participation, indicating internal confidence in the company’s prospects.
*Subscription figures are based on exchange data and are considered reliable indicators of investor interest. Grey Market Premium (GMP) figures are unofficial and may vary; investors should prioritize official exchange data for decision-making.
How to Apply for the Vikram Solar IPO
Investors keen on participating in the Vikram Solar IPO can do so through the official Dhan Kirti IPO platform. Ensure your application is submitted before the subscription window closes on August 21st, 2025.
The Vikram Solar IPO represents an opportunity to invest in a leading player within India’s dynamic and growing renewable energy sector. Prospective investors are encouraged to conduct their own thorough due diligence, review the Red Herring Prospectus (RHP) for comprehensive details, and consult with a financial advisor to make informed investment decisions aligned with their financial goals and risk tolerance.
