Vikram Solar IPO gets Enthusiatic Response, Issue Subscribed 54.63 Times
Vikram Solar Ltd., an important Indian manufacturer of solar cells and modules, had issued its Rs. 2,079.37 crore Initial Public Offering (IPO) which was live from 19th August to 21st August 2025. The IPO was oversubscribed, with a 54.63x subscription.
QIBs Subscibed 142.79x, Warm Response by NIIs and Retail Investors
Out of all categories of investors, subscription by Qualified Institutional Buyers (QIBs) to Vikram Solar’s IPO was the highest at 142.79 times. This was followed by Non-Institutional Investors’ (NIIs) subscription of 50.90 times, whereas retail investors subscribed 7.65 times to the IPO. Subscription through employee quota was 4.84 times.
Specifics of Vikram Solar’s IPO
Vikram Solar’s IPO comprised 4.52 crore fresh shares valued at Rs. 1,500 crore and offer for sale of 1.75 crore existing shares worth Rs. 579.37 crore. These shares were offered in the Rs. 315 to Rs. 332 price band, and each of the offered shares had Rs. 10 as its face value.
The company is expected to be listed on stock exchanges on 26th August 2025.
Proceeds to Partially Fund New 3,000 MW Solar Cell & Module Plant
It must be noted that Vikram Solar will utilise net proceeds only from the fresh issue components of its IPO. The company will not receive any proceeds from the offer for sale of existing shares.
Vikram Solar will utilise the proceeds to partly fund its upcoming 3,000 MW solar cell and module plant in Tirunelveli, Tamil Nadu. This plant is being developed in 2 phases by VSL Green Power Pvt. Ltd., a wholly-owned subsidiary of Vikram Solar.
The total cost of setting up phase-1 of this facility is about Rs. 2,538.69 crore, and about Rs. 769.73 crore out of the proceeds of Vikram Solar’s IPO will be used towards this project in FY26. Further, Rs. 1,700 crore of the total requirement of phase-1 is being funded through a term loan from Indian Renewable Energy Development Agency Limited (IREDA). The remaining amount, that is Rs. 68.96 crore, has already been invested by the company in development of phase-1 this plant as of 30th June 2025.
Phase-2 of the Tamil Nadu solar cell and module plant will be set up by VSL Green Power with a total investment of Rs. 610.57 crore. Of the proceeds from Vikram Solar’s IPO, Rs. 595.21 will be utilised for phase-2 of this project in FY26. Further, Rs. 15.36 crore has already been invested by VSL Green Power in phase-2 of this project as of 30th June 2025.
Apart from this, proceeds from Vikram Solar’s IPO will be used for the company’s general corporate purposes.
About Vikram Solar: Vikram Solar was incorporated in 2005, and is a manufacturer of photovoltaic (PV) cells and modules. The company produces p-type monocrystalline silicon based Passivated Emitter and Rear Contact (PERC), n-type monocrystalline silicon based Tunnel Oxide Passivated Contact (TOPCon), and n-type monocrystalline silicon based heterojunction technology (HJT) solar modules. The company also provides EPC services for solar power plants, as well as Operations & Maintenance (O&M) services for solar projects. For FY26, the company reported a revenue of Rs. 3,459.53 crore, and a Profit After Tax (PAT) of Rs. 139.83 crore.
