Indian solar modules maker Waaree Energies files for IPO

Indian solar panels manufacturer Waaree Energies Ltd on Friday filed for an initial public offering (IPO) as it seeks to raise money to partially finance its plan to build a 6-GW factory in the state of Odisha.

The company has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) according to which, it plans to sell up to INR 30 billion (USD 361m/EUR 326m) worth of new shares. There will also be an offer for sale of as many as 3.2 million equity shares, mainly by the firm’s largest shareholder, Waaree Sustainable Finance Pvt Ltd.

Earlier this year, Waaree Energies raised INR 10 billion in an investment round led by ValueQuest. It said at the time that the particular sum was intended for a 6-GW expansion of its solar ingots, wafers, cells and modules manufacturing capacity.

The newly filed document gives more details.

"While we have extensive experience in the manufacturing of solar PV modules, we have no experience in manufacturing solar cells and we intend to expand into manufacturing of ingot-wafers, solar cells and modules by setting up a 6 GW capacity ingot-wafers, solar cells and modules manufacturing facility at Odisha," the company says.

According to the prospectus, the total cost of the project in Odisha is estimated at INT 90.5 billion. The document also mentions that the IPO proceeds not used to finance the project in Odisha will go for general corporate purposes.

The company’s current annual production capacity stands at 12 GW and in addition to the facility in Odisha, Waaree Energies plans a multi-gigawatt factory in the US state of Texas, as announced just recently.

(INR 10 = USD 0.120/EUR 0.109)

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