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Vishakha IPO: Adani-Backed Firm Plans Major Share Market Entry

Vishakha Renewables Files ₹1,250 Crore IPO Papers with SEBI, Plans to Reduce Debt

Adani Group and Vishakha Group-backed solar component maker plans a public issue as it expands manufacturing capacity in Gujarat

Vishakha Renewables Limited, a Gujarat-based manufacturer of solar module components backed by the Adani Group and Vishakha Group, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO) worth ₹1,250 crore in fresh shares, along with an offer for sale of up to 1.82 crore shares.

The proposed IPO comes as the company expands its manufacturing operations and seeks to reduce its outstanding debt. Adani Properties Private Limited, one of the company’s promoters, will also sell shares through the offer.

The fresh issue will raise to ₹1,250 crore. Existing shareholders will offer up to 1.82 crore equity shares under the offer for sale (OFS). The company may also raise to ₹250 crore through a pre-IPO placement. If it goes ahead with this plan, the amount raised through fresh shares will be reduced accordingly.

Vishakha Renewables plans to use ₹900 crore from the net proceeds to repay or make early payments towards certain borrowings. The remaining funds will go towards general corporate purposes. Its consolidated outstanding borrowings stood at ₹2,700.57 crore as of 30 June 2026.

The debt repayment plan is a key part of the proposed share sale. It would reduce some of the company’s existing loan obligations, although the final impact will depend on the amount raised and how the funds are used.

Vishakha Renewables makes four of the six main components used in solar modules: solar glass, aluminium frames, EVA and EPE encapsulants, and back sheets. These parts together account for around 40% to 45% of the average cost of a bifacial solar module, according to the company’s DRHP.

A solar module uses photovoltaic cells to convert sunlight into electricity. Glass protects the cells, while aluminium frames provide structural support. Encapsulants hold the cells in place and protect them from moisture and damage. Back sheets provide an additional protective layer in certain module designs.

According to the CRISIL report cited in the filing, Vishakha Renewables ranked second in India for solar glass production, with an installed capacity of 660 tonnes per day (TPD), as of 31 March 2026. It also ranked second in EVA and EPE encapsulant production, with a capacity of 23.20 million linear metres. Its aluminium frame manufacturing capacity of 14,508.75 tonnes per annum (TPA) placed it first in India. The company was also among the country’s top 10 back sheet manufacturers.

The same report identifies Vishakha Renewables as India’s largest non-cell solar component manufacturer by combined installed production capacity as of March 2026.

India’s dependence on imported solar components provides further context for the company’s expansion. The CRISIL report estimates that around 70% of India’s solar glass requirements, more than 65% of aluminium frame requirements, over 70% of encapsulant requirements and around 75% of back sheet requirements were met through imports as of March 2026.

The report also estimates India’s solar glass manufacturing capacity at around 2,300 to 2,500 TPD in May 2026, equivalent to annual production capacity for roughly 17 to 18 GW of solar modules. Domestic demand exceeded 50 GW, leaving a substantial gap between local production capacity and requirements.

These figures point to the scale of the supply gap. However, actual production, imports and demand can change as new factories begin operations and solar module manufacturers adjust their purchases.

Vishakha Renewables is increasing its production capacity at its manufacturing facilities in Mundra, Gujarat. Its solar glass capacity is planned to rise from 660 TPD, equivalent to 4.40 GW of solar modules, to 1,920 TPD, equivalent to 12.80 GW.

The expansion involves an additional 1,260 TPD of solar glass capacity. The company also plans to increase its aluminium frame and encapsulant production.

Upon completion, the new solar glass furnace is expected to become the largest operational furnace of its kind in India, according to the DRHP. The company has placed this expansion alongside its plans to serve the growing requirements of domestic solar module manufacturers.

Mundra’s industrial location also plays a part in the company’s operations. Its factories are close to its key customers, Mundra Solar PV Limited and Mundra Solar Energy Limited, as well as Mundra Ports and Special Economic Zone. This location gives the company access to nearby industrial facilities and port infrastructure.

The company reported 99 customers as of 31 March 2026. Its customer base includes the two Adani-linked solar manufacturing businesses that have signed long-term purchase agreements for its products.

The company has entered into three long-term offtake agreements with Mundra Solar PV Limited and Mundra Solar Energy Limited.

The first is a 15-year take-or-pay agreement for solar glass from its Phase I facility. Under this type of contract, a buyer agrees to purchase a minimum quantity or pay for a shortfall, subject to the terms of the agreement.

The second agreement covers aluminium frames for 8.5 years. The third covers solar glass from the Phase II facility for 17 years.

These contracts include minimum purchase commitments. They give Vishakha Renewables a degree of certainty about future demand, although the company’s sales will also depend on the terms of the agreements and the ability of its customers to meet their commitments.

The relationship with these buyers also brings a point that investors may examine. A substantial part of the company’s business is linked to two Adani Group companies. Its future performance will therefore depend partly on demand and purchasing decisions within this customer group.

SBI Capital Markets, ICICI Securities and IIFL Capital Services have been appointed as the book-running lead managers for the IPO. MUFG Intime India Private Limited will act as the registrar.

The DRHP filing is an early formal stage of the IPO process. The document provides information about the company’s business, financial position, share sale plans and the risks linked to its operations. Investors can use these details to examine the company before making any investment decision.

The proposed issue will bring fresh funds into Vishakha Renewables, while the offer for sale will allow existing shareholders, including Adani Properties Private Limited, to sell part of their holdings.

With ₹900 crore earmarked for debt repayment and major production expansion under way at Mundra, the proposed share sale comes at a time when the company is managing both its borrowing obligations and plans for higher output.

The final issue price, subscription dates and other details will be announced through later IPO documents, subject to the required regulatory process.