After the successful public issues by Waaree Energies and Premier Energies last year, Bengaluru-based Emmvee - maker of solar photovoltaic modules - is preparing to raise Rs 2,500–3,000 crore through an initial public offering (IPO), reflecting a growing investor appetite for clean energy, people aware of the development told Moneycontrol on the condition of anonymity.
The Emmvee Group has a total manufacturing capacity of 2.5 gigawatts (GW) and 6.6 GW capacity for solar cells and solar modules, respectively. The group has a track record of over 30 years in the solar industry, with a business spanning across solar water heating systems and modules.
Sources said the solar module maker is likely to use the IPO proceeds to fund capital expenditure as it looks to expand cell and module manufacturing capacity, to tap growing domestic and global demand for renewable energy. Emmvee may also use part of the funds to repay debt used for previous capacity expansions, sources said.
Emmvee is working with investment banks Kotak Mahindra Capital and JM Financial as well as other advisors for the proposed initial public offering, sources added.
An email sent to the Emmvee group did not elicit a response till the time of publication of the story.
Emmvee group has an unexecuted order book of 3.9 GW for solar modules, aggregating to approximately Rs 5,898 crore as on January 2025, providing revenue visibility over the next 1-2 years, credit rating agency Care Ratings said in March. The company has orders from leading developers such as NTPC, CleanMax, Ayana Power and others.
Surge in Clean Energy IPOs
The company’s IPO comes amid a surge of public listings in the solar manufacturing space, and successful floats by Waaree Energies and Premier Energies in 2024.
In September 2024, Hyderabad-based solar module and cell maker Premier Energies raised Rs 2,830 crore through its IPO while in October, Waaree Energies, the biggest domestic player in this field, raised Rs 4,321 crore.
The Premier Energies IPO was subscribed 74.4 times, while the Waaree share sale witnessed a subscription of 76.34 times, highlighting the strong investor demand for these businesses. Waaree Energies stock is trading above 86 percent compared to its IPO price, while Premier stock is currently trading at 130 percent above its respective IPO price.
These recent IPOs saw a high demand for a variety of reasons such as government’s push for domestic manufacturing in the solar value chain through initiatives like production-linked incentive (PLI) scheme as well as mandates to use domestic equipment in renewable power sector.
India’s ambitious clean energy target of 500 GW of installed capacity by 2030 and shifting of global supply chains due to geopolitical tensions between the US and China were also tailwinds.
Following the two IPOs in 2024, several other companies have filed their draft papers with the market regulator, hoping to raise funds for expansion through IPOs.
Kolkata-based Vikram Solar aims to raise Rs 1,500 crore through its public markers debut, Delhi-based Saatvik Green Energy plans to raise Rs 1,150 crore, while Fujiyama Power Systems and PMEA Solar Tech Solutions plan to raise fresh capital of around Rs 700 crore and Rs 600 crore, respectively.
Moneycontrol reported on May 5 that Avaada Group, a renewable energy focused firm founded by Vineet Mittal, former co-founder of Welspun Energy, has begun preparations for a Rs 4,000-5,000 crore initial public offering (IPO) of the group’s solar module manufacturing unit.
Earlier on February 6, Moneycontrol had reported that Kolkata-based homegrown solar cell manufacturer Jupiter International Limited is planning to raise around Rs 2,500 crore through an IPO.
The primary market action is not just limited to solar manufacturing companies. Even clean energy utilities are tapping into the investor demand to meet their funding requirements.
In the biggest ever IPO from the renewable energy sector, NTPC Green Energy Limited in November 2024 raised Rs 10,000 crore. In the same month, renewable energy producer Acme Solar Holdings raised Rs 2,900 crore from its initial public offering.
As per media reports, other clean energy producers such as Hero Future Energies and CleanMax Enviro Energy Solutions are also working on their respective IPOs.
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