Vikram Solar IPO: A Deep Dive into India’s Solar Power Rising Star

India's ambitious renewable energy goals have brought several solar companies into the spotlight, and Vikram Solar is one among them that’s capturing investor attention with its IPO opening on August 19, 2025. Here’s everything you need to know about this exciting opportunity.

Business Model & Industry Position

Vikram Solar Limited, established in 2009, is a leading player in India’s solar photovoltaic (PV) manufacturing space. The company designs, manufactures, and sells high-quality solar panels (PV modules) and also provides EPC (engineering, procurement, and construction) and O&M (operation & maintenance) services for solar power projects. Strategically located manufacturing plants in West Bengal and Tamil Nadu help it supply both domestic and international markets effectively. As of fiscal year 2025, Vikram Solar has an installed capacity of 4.5 GW with a strong order book of over 10 GW, powering customers across India and more than 39 countries worldwide.

The solar PV manufacturing sector is India’s fastest-growing renewable segment, expected to expand to around 175-185 GW capacity by 2030. Government initiatives like the Production Linked Incentive (PLI) scheme, Atmanirbhar Bharat campaign, and strong export focus are driving this growth, creating a favorable environment for companies like Vikram Solar.

Strong Leadership Driving Growth

Led by experienced promoters including Gyanesh Chaudhary and family, Vikram Solar's senior management team combines deep industry knowledge and strategic vision. Their guidance has fueled the company’s impressive growth trajectory from a modest 12 MW capacity to a major player today, with plans to scale manufacturing capacity to a massive 15.5 GW by 2027. This leadership focus on innovation, quality certification, and global market expansion positions Vikram Solar well for the future.

Financial Performance & Fundamentals

Vikram Solar has demonstrated strong financial discipline and healthy growth:

• FY25 Revenue: ₹ 3460 crores

• FY25 Net Profit: ₹149 crores

• EBITDA Margin: Around 14.37% in FY25

• Return on Capital Employed (ROCE): Approximately 24.5%

• Low Debt-to-Equity Ratio (~0.19), reflecting a conservative capital structure

The company also showed a revenue growth of about 37% from FY24 to FY25 and a 75% increase in PAT during the same period, indicating accelerating profitability.

Competitive Landscape

In the competitive solar PV manufacturing space, Vikram Solar stands tall alongside peers like Waaree Energies and Premier Energies. While Waaree leads with a capacity of nearly 15 GW and Premier holds a significant share as well, Vikram Solar's current 4.5 GW capacity and 10 GW+ order book demonstrate strong demand and future growth prospects. Despite smaller scale, its emphasis on technology innovation and compliance with global certifications are key differentiators.

IPO Details & Investment Outlook

• IPO Open: August 19, 2025

• IPO Close: August 21, 2025

• Price Band: ₹315 to ₹332 per share

• Total Issue Size: Approximately ₹2,079 crore (combining fresh issue and offer-for-sale)

• Minimum Application: 45 shares (~₹14,940)

• Listing Date (Tentative): August 26, 2025 on BSE & NSE

The proceeds will primarily fund capital expenditure for expansion projects, including the subsidiary VSL Green Power’s Phase I & II, along with general corporate purposes and debt repayment.

Why Consider Investing?

India's renewable energy transition is accelerating rapidly. With government support, rising solar demand, and increasing global focus on sustainability, Vikram Solar is well positioned to capture substantial market share. Its strong fundamentals, robust order book, and plans for capacity expansion make it a compelling consideration for investors.

However, as with all investments, be mindful of risks such as customer concentration, import dependence on raw materials, competition from global players, and policy uncertainties.

Final Verdict: Why You Should Apply for Listing Gains in Vikram Solar IPO

The Vikram Solar IPO is generating a lot of buzz, and after a thorough analysis, here is my final verdict: this IPO presents a compelling opportunity to apply for listing gains.