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Vikram Solar IPO Day 2 Live: The initial public offering (IPO) of Vikram Solar Ltd, a manufacturer of solar modules, received 1.52 times subscription on its opening day of bidding on Tuesday.

The Non-Institutional Investors segment saw a subscription rate of 3.84 times, while the portion designated for Retail Individual Investors (RIIs) was subscribed 1.36 times. The Qualified Institutional Buyers (QIBs) segment garnered a subscription of 2 percent.

On Monday, Vikram Solar raised ₹621 crore from anchor investors.

With Vikram Solar IPO price band set between ₹315 and ₹332 per share, the ₹2,079-crore IPO is set to close on August 21.

Vikram Solar IPO consists of fresh equity issues totaling up to ₹1,500 crore and an offer for sale (OFS) of over 1.74 crore shares, which at the upper end of the price band, are valued at approximately ₹579.37 crore from its promoters.

Out of the fresh equity being issued, the firm intends to utilize the funds for capital expenditure aimed at investing in its wholly owned subsidiary, VSL Green Power Private Ltd, for both Phase I and Phase II of their project.

JM Financial, Nuvama Wealth Management, UBS Securities, Equirus Capital, and PhillipCapital serve as the lead managers for the offer.

(Stay tuned for more updates)

“On the valuation front, based on annualized FY25 earnings, the company is seeking a P/E of 85.8 times, and a post-issue market capitalization of approximately ₹1,20,090 million, making the issue appear aggressively priced. We believe, business includes high capex, client concentration, and global supply chain exposure. Yet, strong order book (10.3 GW), backward integration, and government support position it well for long-term growth. Thus, we assign SUBCRIBE for LONG TERM rating for this issue,” said Anand Rathi in its report. 

India aims to build its presence across all stages of PV manufacturing over the next two to three years. In November 2020, the GoI introduced the PLI scheme for manufacturing high-efficiency solar PV modules with a financial outlay of ₹45 billion. It later enhanced the outlay by ₹195 billion under the Union Budget for fiscal 2023. 

Crisil Intelligence expects solar PV manufacturing Capacity to reach 175-185 GW by fiscal 2030, with full integration from polysilicon to modules expected to account for ~25% of capacities, largely driven by PLIs. Achieving this is expected to require an investment of ₹1.20-1.30 trillion by fiscal 2030. India is expected to add 150-170 GW of solar capacity over fiscal 2026-2030 with an upside of the 45-50 GW from Green Hydrogen. Considering the average module price of USD 0.20/Wp, this capacity addition provides a total opportunity of USD ~38-42 Bn over fiscals 2026-2030.

The Company is currently undertaking significant Greenfield and brownfield expansion which is expected to increase its installed manufacturing capacity to up to 15.50 GW by FY 2026 and up to 20.50 GW by FY 2027. Furthermore, the company is strategically backward integrating into the solar value chain by establishing a solar cell manufacturing facility with 2 units, 3.00 GW and 9.00 GW, in Gangaikondan, Tamil Nadu by FY 2027. 

By Fiscal 2027, the company further intends to upgrade its solar PV module manufacturing capacity at the Falta (West Bengal) facility by an additional cumulative Total Rated Capacity of 2.00 GW and build a new facility in the United States with an additional solar PV module Total Rated Capacity of 3.00 GW. The new facility in the United States is expected to be developed by FY 2027 in association with US-based sustainability focused partners. As of date, these 2 projects are still at the planning stages.

The Company has production facilities in West Bengal and Tamil Nadu that are equipped with advanced manufacturing equipment from international equipment suppliers and systems that drive manufacturing excellence in its global supply chain, sales and distribution network. Both factories are strategically located near ports, helping facilitate the company’s international operations and exports. 

The company’s manufacturing facilities produce solar PV modules utilizing equipment and technologies from Japan, Germany, the United States of America, Switzerland and China.

As of March 31, 2025, the company had an Order Book of 10,340.82 MW (which is 2.30 times of its total rated capacity as of FY 2025), of which 6,424.93 MW comprise projects/operations which are already under execution and 3,915.89 MW comprise projects which are yet to be executed.

Vikram Solar Ltd. is a leading Indian solar energy solutions provider with its headquarters in Kolkata. The company was founded in 2005 by Gyanesh Chaudhary and has since grown to become one of India's largest solar module manufacturers. Vikram Solar's primary business is the manufacturing of solar photovoltaic (PV) modules, but it also offers a full range of services, including engineering, procurement, and construction (EPC) for solar power plants, as well as operations and maintenance.

“Its portfolio spans high-efficiency PV modules, EPC, and O&M services, serving top clients like NTPC and Adani. Risks include high capex, client concentration, and global supply chain exposure. Yet, strong order book (10.3 GW), backward integration, and government support position it well for long-term growth. We recommend a ‘SUBSCRIBE’ rating for investors seeking exposure to India’s clean energy value chain,” said Lakshmishree Investment & Securities.

Vikram Solar IPO has reserved not more than 50% of the shares in the public issue for qualified institutional buyers (QIB), not less than 15% for non-institutional Institutional Investors (NII), and not less than 35% of the offer is reserved for retail investors. The employee portion has equity shares aggregating up to ₹100 million.

Tentatively, Vikram Solar IPO basis of allotment of shares will be finalised on Friday, August 22 and the company will initiate refunds on Monday, August 25 while the shares will be credited to the demat account of allottees on the same day following refund. Vikram Solar share price is likely to be listed on BSE and NSE on Tuesday, August 26.

Vikram Solar IPO subscription status was 1.52 times on day 1. The retail portion was subscribed 1.36 times, and NII portion has been booked 3.84 times, Qualified Institutional Buyers (QIBs) portion received 2% bids.

The company has received bids for 6,89,16,960 shares against 4,53,61,650 shares on offer, at 17:00 IST, according to data on BSE.

Vikram Solar IPO GMP today is +48. This indicates Vikram Solar share price were trading at a premium of ₹48 in the grey market, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Vikram Solar share price was indicated at ₹380 apiece, which is 14.46% higher than the IPO price of ₹332.

According to the grey market activities observed over the last 10 sessions, the IPO GMP is currently on the rise and is anticipated to yield a solid listing. The minimum GMP recorded is ₹0.00, while the maximum GMP stands at ₹69, as per expert analysis.

'Grey market premium' indicates investors' readiness to pay more than the issue price.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.

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