Emmvee Photovoltaic Power Aims to Shine with Rs 3,000 Crore IPO

Emmvee Photovoltaic Power Ltd, a prominent player in the solar photovoltaic module sector, has initiated steps to raise Rs 3,000 crore via an initial public offering (IPO). The proceeds will mainly fund debt repayment and general corporate needs, said sources familiar with the draft red herring prospectus (DRHP).

The IPO draft submitted to the capital markets regulator Sebi highlights a fresh issue of shares worth Rs 2,143.86 crore and an offer for sale (OFS) of Rs 856.14 crore by company promoters. Emmvee's move comes as India sees substantial growth in the solar PV module industry, largely driven by government encouragement of domestic production.

Based in Bengaluru, Emmvee is expected to utilize Rs 1,607.90 crore for repaying or prepaying loans for the company and its subsidiaries. If a pre-IPO placement manages to raise up to Rs 428.77 crore, it will be adjusted against the fresh issue. Industry experts note that India's solar PV sector is on track for significant expansion, with total manufacturing capacities poised to escalate by the end of the decade.

(With inputs from agencies.)