Introduction
Vikram Solar, a company established in 2005 and started operating in 2009, has become a major actor in the solar sector with the installed PV module production capacity of 4.5 GW and 2.85 GW in the Approved List of Models and Manufacturers (ALMM). Besides producing high-efficiency modules with such technologies as PERC, TOPCon, and HJT, the company also offers EPC and operations and maintenance (O&M) services. Its IPO (valued at about 2079 crore) is comprised of a fresh issue of 1500 crore and an offer of sale (OFS) of 579 crore. The proceeds shall be used to finance the capital expenditure of its expansion projects in its subsidiary VSL Green Power, such as Phase-I and Phase-II projects in Tamil Nadu among other general corporate purposes. With IPO imminent, the market is as optimistic as it is cautious as trending topics on sites such as X (formerly Twitter) are all about the GMPs, subscriptions and comparisons with peers.
Quick Summary
The Vikram Solar IPO opens for subscription from August 19 to 21, 2025, with a price band of ₹315 to ₹332 per share. The lot size is 45 shares, requiring a minimum investment of around ₹14,940 for retail investors. The Vikram Solar IPO total issue size stands at ₹2,079.37 crore, with allocations split as 50% for qualified institutional buyers (QIBs), 15% for high-net-worth individuals (HNIs), and 35% for retail investors. As of August 18, 2025, the GMP hovers between ₹61 and ₹70 per share, suggesting a potential listing gain of 18-21% over the upper price band. This translates to an estimated listing price of ₹393 to ₹402. Financially, the company reported a 36% revenue growth to ₹3,423 crore in FY25, with profit after tax (PAT) rising 75% to ₹140 crore. Key trending topics include IPO details, financial performance, subscription status, allotment timelines, objectives, peer comparisons, expert reviews, and US exposure concerns, fueled by discussions on X about the company’s growth in a tariff-sensitive global market.
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Main Content
The grey market premium in the IPO of Vikram Solar has been fluctuating in the run-up to the IPO with the premium hovering between 60-62 to as high as 70 among different unlisted market trackers. This GMP reflects medium-term investor interest perhaps due to the robust order book of 10.3 GW, which is more than twice its capacity, and the intent to increase to 20.5 GW by FY27. Nonetheless, the high price-to-earnings (P/E) ratio of approximately 85x based on FY25 earnings compared with peers such as Waaree Energies (43x) and Premier Energies (47x) has caused the premium to slip marginally to the current levels of 2-3 per cent below the highs of 68-69 earlier. Analysts note that the GMP implies a 19-21% listing pop, but it is still speculative, and may be subject to overall market sentiment, given that four other IPOs will be priced and open the same day.
Coming to the specifics of the IPO, the offering is set up to facilitate rapid growth. The new issue proceeds would be used to fund majorly two phases of operations at VSL Green Power in Gangaikondan, Tamil Nadu; Phase-I of a 3 GW solar cell and module plant to be built at a cost of 769.7 crore and Phase-II of additional upgrades. This is in line with India ambitious solar targets where internal capacity is projected to increase under measures such as the Production Linked Incentive (PLI) scheme. International confidence can be seen by the fact that the firm had already raised funds of 200 million dollars with the US Development Finance Corporation (DFC) to build its Tamil Nadu plant. Also on X, users are trending on topics such as Vikram Solar IPO Details, indicating the bidding dates in the period between August 19 and 21, allotment on August 22, and tentative listing on BSE and NSE on or after August 26. The lot size 45 shares and post-IPO market cap of 12,009 crore are highlighted in the discussions as well as promoters holding 63.12% of the shares.
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Another hot-trending area is the financial performance, where the company FY25 revenue growth to 3, 423 crores is due to a rise in module sales and EPC executions. EBITDA was also at 492 crore and margin at 14.4% and the return on equity (ROE) was upwards of 16.6% and the return on capital employed (ROCE) at 24.5%. However, margins are under-performing peers–Premier Energies has 28.8% EBITDA and 14.1% PAT margins–raising questions about X in “Vikram Solar Financial Performance.” The debt-to-equity ratio of 0.19 gives investors hope of expansion but cautions against the dependence of raw materials imports (81.0 percent in FY25) and concentration of customers (top five clients provide 77.5 percent of revenue).
The subscription status, which is scheduled to appear beginning August 19 is trending as users wonder what demand will be in the retail and institutional segments. The renewable energy boom is apparently in its early stages and current indicators show high interest, although concurrent IPOs (such as Patel Retail and Gem Aromatics) may reduce the degree to which they are oversubscribed. Discussions about allotment and listing centre on the August 22 finalisation and August 26 listing, and such tools as the registrar Link Intime portal are expected to be used to check the status.
The stated goals of the IPO are also dominant, with the funds acting to speed up backward integration of solar cells (planning 3 GW initially, scaling to 12 GW) and entry into battery energy storage systems (BESS) at 1-5 GWh by FY27. Internationally, Vikram Solar is in the process of setting up a 3 GW plant in Colorado, USA, where it can take advantage of a tariff on Chinese imports. There is a lot of peer comparison, Vikram versus Waaree (scale leader at 15 GW), Premier (margin better), and Websol (high ROCE at 59%). Although the order book offers visibility, it is questionable whether the P/E premium is excessive when it is a cyclical industry.
Analyst reviews and advisories are split with more of them going out with cautionary statements regarding the 85x P/E and the possibility of US anti-dumping tariffs against Indian solar products. Others note strong fundamentals, export diversification (61.58 percent of revenue), and BloombergNEF Tier-1 since 2014, and suggest long-term green energy exposure to it. Some warn of insider liquidity sales, pointing to a pre-IPO placing at 122 rupees a share in June 2024 far below the IPO range. US exposure trends are so prevalent that exports fell to 66 percent in FY24 to 2 percent in FY25 to avoid tariff risks, but reliance on US/EU markets is an Achilles heel.
What is the current GMP for Vikram Solar IPO, and what does it mean for listing?
As of August 18, 2025, the GMP is ₹61-70, implying a 18-21% premium over ₹332, potentially listing at ₹393-402. GMP reflects unofficial market sentiment but isn’t guaranteed and can fluctuate.
Should retail investors apply to the Vikram Solar IPO?
It depends on risk appetite; strong growth in solar appeals for long-term holds, but high valuations and tariff risks suggest caution for short-term gains. Consult advisors.
How does Vikram Solar compare to peers?
It trails in margins (14.4% EBITDA vs. Premier’s 28.8%) but leads in expansion plans (20.5 GW by FY27) and low debt.
When will subscription status be available?
Live updates start August 19 on BSE/NSE websites.
Conclusion
The Vikram Solar IPO comes at a critical time in India solar ambitions and the investors get a shot at being part of a company that will realize exponential growth as it increases its capacity and develops its technology. As a GMP on the listing gains note and the trending topics highlight the opportunities and challenges, the offering is the embodiment of the promise of the renewable industry in an uncertain global environment. The high P/E and external risks such as tariffs however are issues that should be given proper due diligence. This should not only be seen as a short-term play but it should be considered as a wager on the green future of India where speculation and fundamentals are balanced. GMP is, per usual, unofficial-read the red herring prospectus (RHP) and seek professional counsel prior to commitment. Vikram Solar has a strategic positioning in a market crowded with IPOs and the success will depend on the execution in the competitive environment.
Disclaimer: The information provided here is for educational and informational purposes only. Grey Market Premium (GMP) values are speculative and unofficial. Investors should evaluate company fundamentals and consult a financial advisor before making investment decisions.
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