PV modules maker Rayzon Solar files draft papers for Rs 1,500-crore IPO

In the pre-IPO round, it is planning to raise up to Rs 300 crore

Gujarat-based Rayzon Solar, which claimed to be among the top 10 manufacturers of solar photovoltaic (PV) modules in India with installed capacity of 6 GW, has filed preliminary papers with the SEBI to raise Rs 1,500 crore via initial share sale.

The initial public offering (IPO) comprises of entirely fresh issue.

In the pre-IPO round, it is planning to raise up to Rs 300 crore. If it closes the pre-IPO placement, the fresh issue size will get reduced to the extent of said amount.

The company proposed to utilise Rs 1,265 crore of the fresh issue proceeds for part financing the establishing of manufacturing facility with 3.5 GW installed capacity by its subsidiary, Rayzon Energy. This facility will produce solar cells using TOPCon (tunnel oxide passivated contact) technology at Surat, Gujarat, and is expected to become operational in FY27.

Rayzon Solar that competes with recently listed entities like Waaree Energies, and Premier Energies is owned by the Kothiya, and Nakrani families with 98.10 percent shareholding. The remainder 1.9 percent shares are held by the public.

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After commencing operations in 2017, the company with two manufacturing facilities in Karanj and Sava (Gujarat) has expanded its solar PV modules manufacturing capacity from 40 MW in March 2018 to 6.00 GW in March 2025.

It is in the process of adding an additional module manufacturing capacity of 2.00 GW at Sava facility, which is expected to be operational by October 2025. Further, it is also in the process of establishing an aluminium extrusion and anodizing manufacturing unit in Sava in Mangrol, with a capacity of 19,800 MT per annum for the manufacturing of aluminium frames through Subsidiary, Rayzon Industries, which is expected to become operational in July 2025.

SBI Capital Markets, Ambit, and IIFL Capital Services are appointed as the book running lead managers to handle the Rayzon Solar IPO. AZB & Partners is the legal advisor to the issuer company and JSA is the legal advisor to the investment banks.