Gautam Solar Eyes IPO Option As It Expands Capacity to 5 GW

Gautam Solar Plans 2 GW solar cell manufacturing plant in Haryana

Gautam Solar, one of the oldest and largest solar module manufacturer in North India, has announced more details on its ambitious plan to expand its solar module manufacturing capacity to 5 GW by 2025. This expansion will occur in three phases, with the first phase set for completion in November 2024, followed by the second and third phases in January and April 2025, respectively. This expansion is part of the company’s vision of solidifying India’s position as a global leader in solar off-grid technology.

In addition, the company has outlined a ₹1000 crore cell expansion plan, with further growth funded through an Initial Public Offering (IPO), anticipated in the next 12-18 months. The IPO will drive the company’s growth by setting up a 2 gigawatt (GW) solar cell manufacturing plant to bolster solar module production and achieve the 5 GW target within the stipulated time.

Sharing his views about the expansion plan, Gautam Mohanka, Managing Director of Gautam Solar, said, “As India targets achieving 500 GW of renewable energy by 2030, our expansion to 5 GW of solar module manufacturing capacity by 2025 is a vital step towards contributing to this national goal. Currently, India’s solar energy capacity stands at around 70 GW, and with this expansion, Gautam Solar will account for nearly 5% – 7% of the country’s total capacity.”

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“Our ₹1000 crore cell expansion plan, which will be funded through an upcoming IPO, will further position us as a leader in solar technology. This initiative is not just about scaling up – it’s about driving innovation, creating new jobs, and offering solar products specifically designed to meet India’s unique environmental and economic needs,” Mohanka added.

Gautam Solar’s expansion and domestic manufacturing drive for cells as well comes at a time when industry widely expects the government to expand the ALMM requirements to solar cells as well by April 2026. This follows the release of draft guidelines for the same, and the success of the ALMM experiment in driving up module manufacturing  in India, supported by high import duties as well.

Fy24 has seen a slew of IPOs from the sector, on both the SME exchanges, and soon, the main board as well. Going by announcements and filings, it wouldn’t be too off the mark to say that 7-8 of the top 10 manufacturers by 2026 might be listed directly or indirectly (via holding firms) on the stock markets. The push for listings is driven by both the need to raise funds and buoyant markets (providing high valuations and P/B values), that are allowing access to cheap money (relatively) like never before in the industry’s history. In many ways, the markets are fulfilling a purpose that was to be served by concessional financing that never came through from the developed world to developing markets for speeding up the energy transition.

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