Upcoming IPO of Solar Sector Companies in 2024

Table of Contents

• Introduction
• 3 Upcoming Solar Power Companies IPO in 2024
• Catalyzing Factors
  • PLI Scheme: Fueling Expansion
• What This Means for Investors
• Conclusion
• Sources

Introduction

In 2024, the Indian solar industry is set to take a significant leap. With the target to achieve 500 gigawatts (GW) of non-fossil fuel energy capacity by 2030, solar sector companies are gearing up for Initial Public Offerings (IPOs) to rally the necessary capital for their expansion projects. An impressive total of ₹5,800 crore is expected to be raised, marking a pivotal moment in the financial sector and the stock market concerning renewable energy.

3 Upcoming Solar Power Companies IPO in 2024

Here are the three leading solar sector companies planning to go public in 2024:

Note As of 4 April 2024 Date of IPOs are not yet confirmed. The companies are in the process of planning their IPOs.

• Waaree Energies: As the largest manufacturer of solar modules in India, Waaree Energies is poised to significantly extend its manufacturing capabilities, with plans to use a major portion of its IPO proceeds for establishing a new facility in Odisha. Their specialty lies in a comprehensive range of solar manufacturing, from wafers to modules.

• Premier Energies: Having ramped up its operating capacity considerably in a short span, Premier Energies is aiming for further expansion. Specializing in solar cells and solar modules, the company is focusing on enhancing its manufacturing capacity to meet the growing demand.

• Vikram Solar: With an existing capacity of 3.5 GW for solar modules and plans for further expansion under the PLI scheme, Vikram Solar is focusing on catering to both domestic and international markets. The company specializes in high-efficiency solar modules.

Catalyzing Factors

Several elements have combined to create a conducive environment for solar component manufacturing in India. Robust domestic demand, favorable government policies through the Productivity Linked Incentive (PLI) schemes, and protective tariffs on imports, especially from countries like China, have significantly contributed to this upbeat scenario.

PLI Scheme: Fueling Expansion

The government's PLI scheme is a strategic component to reduce dependency on imported solar components, facilitating a major boost in domestic manufacturing capabilities. It has earmarked a total capacity of 39,600 megawatts (MW) for solar PV module manufacturing, spreading across various companies and categories within the solar value chain.

Conclusion

As the Indian solar sector prepares for its IPO spree in 2024, it is set to unlock new growth avenues. These fund-raising efforts mark the industry's readiness to address both India’s and the global market's renewable energy demands, emphasizing its role in the sustainable energy landscape. For more details on the Indian solar sector, one can explore the Ministry of New and Renewable Energy's current status.

FAQ

Q: What are the upcoming IPOs in the solar sector in india in 2024?
A: The upcoming IPOs in the solar sector in India in 2024 include Waaree Energies, Premier Energies, and Vikram Solar.

Q: What are the expansion plans of these solar sector companies?
A: Waaree Energies plans to establish a 6 GW manufacturing facility in Odisha, Premier Energies aims to expand to 3.7 GW module & 3 GW cells by FY25, and Vikram Solar has been approved to set up 2.4 GW under the PLI scheme.

Q: How much funds are these solar sector companies planning to raise through IPOs?
A: Waaree Energies aims to raise ₹3,000 crore, Premier Energies plans to raise up to ₹2,000 crore, and Vikram Solar is looking to raise ₹600 crore-800 crore through pre-IPO rounds.

Q: Why Waaree Energies is going public?
A: Waaree Energies is going public to raise funds for establishing a new manufacturing facility in Odisha and expanding its solar manufacturing capabilities.

Q: Why to invest in solar sector companies' IPOs in 2024?
A: Investing in solar sector companies' IPOs in 2024 provides an opportunity to participate in the growth of a critical sector aligned with global sustainability goals and contribute to a greener future.

Sources

• Ministry of New and Renewable Energy
• Waaree Energies DRHP
• Premier Energies
• Vikram Solar DRHP

Note The information provided in this article is based on the latest available data and may be subject to change. Investors are advised to conduct thorough research or consult with a financial advisor before making any investment decisions.