Waaree Energies gets nod from Sebi to launch its IPO

The IPO comprises a fresh issue of shares worth ₹1350 crore, and an offer for sale of its equity shares by the promoters and existing shareholders.

Waaree Energies Ltd. has received approval from markets regulator Sebi to launch its initial public offering (IPO). In September, the company filed the draft papers with Sebi. The IPO comprises a fresh issue of shares worth ₹1350 crore, and an offer for sale up to 4,007,500 equity shares by the company’s promoters and existing shareholders.

The offer for sale (OFS) consists of the sale of up to 1,315,000 equity shares by Hitesh Chimanlal Doshi, up to 1,315,000 equity shares by Virenkumar Chimanlal Doshi and up to 1,315,000 equity shares by Mahavir Thermoequip Private Limited; up to 40,000 shares by Samir Surendra Shah; and up to 22,500 shares by Nilesh Gandhi.

Additionally, the company, in consultation with the lead bankers to the issue may consider a further issue of equity shares including a preferential issue aggregating up to ₹270 crore. If such placement is completed, the fresh issue size will be reduced.

Proceeds of the issue will be used to the extent of ₹910.31 crore for the solar cell manufacturing unit and ₹141.24 crore will be used for the solar module facility. The remaining proceeds will be used for general corporate purposes.

Waaree Energies is one of the major players in the solar energy industry in India focused on Photo-voltaic (PV) module manufacturing, with an aggregate installed capacity of 2 GW as of March 2021. It currently operates three manufacturing facilities comprising four factories in India at Surat, Tumb and Nandigram. 

The company is also in the process of setting up another manufacturing facility at Chikhli, Gujarat, where it is implementing its capacity expansion plans for PV modules as well as setting up of facilities for backward integration into solar cell manufacturing. The proposed addition of 3 GW PV module manufacturing capacity is expected to be operational by the end of fiscal 2022, and the 4 GW solar cell manufacturing capacity is expected by the end of fiscal 2023.