Gujarat-based Rayzon Solar Limited, one among the top 10 manufacturers of solar photovoltaic modules in India with an installed capacity of 6.00 GW as of March 31, 2025, has filed its draft red herring prospectus (DRHP) with capital market regulator Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO).
The IPO, with a face value of ₹2 each, is entirely a fresh issue of up to Rs 1,500 crore with no offer for sale component. The offer also includes a subscription reservation with a discount to eligible employees in the employee reservation portion.
The proceeds from its fresh issuance to the extent of Rs 1,265 crore for investment in its wholly owned Subsidiary, Rayzon Energy Private Limited (“REPL”), for part financing the cost of establishing the manufacturing facility with 3.5 GW installed capacity, to produce solar cells using TOPCon technology (the “Project”), at RS No. 198, 197, 199/002, 196/002, Kathvada, Mangrol, Surat, 394 405, Gujarat, India (collectively, the “Project Site”); and general corporate purposes.
The company, in consultation with the book-running lead managers, may consider an issue of specified securities, aggregating to Rs 300 crores as pre-IPO placement. If such placement is completed, the fresh issue size will be reduced.
The Issue is being made through the book-building process, wherein not more than 50% of the offer shall be available for allocation on a proportionate basis to qualified institutional buyers, not less than 15% and 35% to non-institutional bidders, and retail individual bidders respectively.
Rayzon Solar commenced operations in 2017 as a partnership firm called M/s Rayzon Green Energies, manufacturing solar PV modules and rapidly expanded its installed manufacturing capacity for solar PV modules from a mere 40 MW as of March 31, 2018 to to 6.00 GW as of March 31, 2025.
It manufactures its solar PV modules at its two manufacturing facilities located in Karanj and Sava, with an existing solar PV module manufacturing capacity of 3.00 GW each and adding an additional module manufacturing capacity of 2.00 GW at its facility in Sava, expected to be operational by October 2025.
The company is a certified manufacturer under the Ministry of New and Renewable Energy’s Approved List of Module Manufacturers (“ALMM”), with an enlisted capacity of 3.00 GW, constituting 3.8% of the total ALMM enlisted capacity as of April 21, 2025. (Source: CRISIL Report).
Through its Subsidiary, Rayzon Energy Private Limited, it is in the process of establishing a 3.50 GW solar cell manufacturing unit in Kathvada in Mangrol, using tunnel oxide passivated contact (“TOPCon”) technology, expected to become operational in Fiscal 2027. It is also in the process of establishing an aluminium extrusion and anodizing manufacturing unit in Sava in Mangrol, Surat, Gujarat with a capacity of 19,800 MT per annum for the manufacturing of aluminium frames through its Subsidiary, Rayzon Industries Private Limited, expected to become operational in July 2025.
The company product portfolio includes bifacial (dual glass or glass to glass) modules with N-type TOPCon cells and P-type Mono Passivated Emitter and Rear Contact (“Mono PERC”) cells, bifacial (glass to transparent backsheet) modules with Mono PERC cells, monofacial (single glass to white back sheet / black back sheet) modules with Mono PERC cells, a full black variant of bifacial modules with TOPCon cells, and a full black variant of bifacial and monofacial (glass to glass and glass to transparent backsheet) modules with Mono PERC cells.
It serves 505, 592, customers through the sale of solar PV modules in the nine months ended December 31, 2024 and Fiscals 2024, respectively. The company’s clients includes Panasonic Life Solutions India Private Limited, Axitec Energy India Private Limited, KPI Green Energy Limited, Microtek International Private Limited, Mahindra Solarize Private Limited, ACME Cleantech Solutions Private Limited, V-Guard Industries Limited, O2 Power Private Limited, Megha Engineering and Infrastructure Limited, Hero Rooftop Energy Private Limited, BluPine Energy Private Limited, Purushotam Profiles Private Limited, Balark Solar Private Limited and Vardhan Sales.
As of December 31, 2024, its distribution network comprised 68 channel partners across 59 cities in 20 States and/or Union Territories in India. It also supplies its modules under government programs such as the Pradhan Mantri Surya Ghar Muft Bijlee Yojana and the PM-KUSUM initiative, in the states of Gujarat, Rajasthan, Maharashtra, Madhya Pradesh and Tamil Nadu.
As of May 31, 2025, we had an order book of 3.60 GW for solar PV modules.
Rayzon Solar’s revenue from operations increased from ₹261.65 crore in Fiscal 2022 to ₹1,272.85 crore in Fiscal 2024, reflecting a CAGR of 120.56%. Additionally, EBITDA increased from ₹13.47 crore in Fiscal 2022 to ₹101.41 crore in Fiscal 2024, demonstrating a CAGR of 174.35%. EBITDA Margin increased from 5.08% in Fiscal 2022 to 7.95% in Fiscal 2024. Profit after tax increased from ₹3.91 crore in Fiscal 2022 to ₹60.94 crore in Fiscal 2024.
For the nine-month period ended December 31, 2024, revenue from operations and profit after tax stood at ₹1957 crore and ₹239.03 crore respectively. SBI Capital Markets Limited, Ambit Private Limited and IIFL Capital Services Limited are the book-running lead managers and KFin Technologies Limited is the registrar of the offer. The equity shares are proposed to be listed on BSE and NSE.
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