India-based Vikram Solar’s IPO has been subscribed 2.1 times on the second day of bidding, supported by strong retail and institutional participation. The company’s integrated expansion strategy, financial growth, and sectoral tailwinds in renewable energy are positioning it as a strong long-term contender in the solar industry.
India’s renewable energy sector received a significant boost as Vikram Solar Ltd reported 2.1 times subscription of its Initial Public Offering (IPO) on the second day of bidding. The issue, which opened on August 20, has attracted broad-based investor interest across institutional, non-institutional, and retail categories.
According to exchange data, the IPO received bids for 9.72 crore shares against 4.53 crore on offer. The non-institutional investor portion saw 5.57 times subscription, while the retail quota was subscribed 1.86 times. Institutional demand, though modest at this stage, is expected to pick up as bidding progresses.
The IPO structure includes a fresh equity issue worth USD 1.5 billion and an offer-for-sale (OFS) valued at approximately USD 579 million by promoters. Proceeds will fund capital expenditure for VSL Green Power Pvt. Ltd, a wholly owned subsidiary, supporting its expansion projects in multiple phases.
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Founded in 2009, Vikram Solar has rapidly scaled its solar PV module capacity to 4.5 GW, making it one of India’s largest non-captive manufacturers approved by the Ministry of New & Renewable Energy. With facilities in West Bengal and Tamil Nadu, the company also operates a solar cell plant in Gangaikondan, Tamil Nadu. Its clientele includes leading government utilities and private power producers across India.
Financially, the company reported a 36% revenue growth in FY25 at USD 3.42 billion, compared to USD 2.51 billion in FY24. Profit after tax surged 75% year-on-year, reaching USD 140 million. Analysts attribute this momentum to improving margins, reduced debt, and a robust order pipeline.
Experts highlight that the solar sector in India is entering a high-growth phase, driven by policy support, capital inflows, and increasing demand for clean infrastructure. While valuations remain at a premium, Vikram Solar’s integrated expansion, entry into energy storage, and backward integration strategy strengthen its competitive edge.
The IPO’s subscription trends reflect confidence not only in Vikram Solar’s fundamentals but also in India’s broader renewable energy story, as the nation accelerates toward sustainable power generation.
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