Emmvee Photovoltaic Power Ltd, an Indian solar panel manufacturer heading towards its initial public offering, plans to invest around Rs. 55 billion (US$625.75 million) to expand its manufacturing capacity, reflecting confidence in domestic renewables demand.
The company currently has module manufacturing capacity of 7.8 GW and intends to add 2.5 GW by the end of the year. Over the longer term, it envisages scaling module capacity up to 16.3 GW by the first half of 2028. At the same time, its solar-cell output is expected to rise from 2.94 GW today to 8.94 GW by the same timeframe.
To fund this expansion, Emmvee will raise 60 % via debt and 40 % via equity. It has already secured a Rs. 33 billion loan from the Indian Renewable Energy Development Agency. The IPO, opening on November 11 for around Rs. 29 billion, will be partly used to repay long-term debt of about Rs. 16.21 billion.
While the domestic Indian market remains the company’s core focus, exports will be considered depending on global conditions. However, the business faces headwinds such as U.S. tariffs of up to 50% on solar panel imports from India and possible anti-dumping duties. Emmvee believes its emphasis on reliability and quality provides a competitive edge in a highly fragmented market.
As India pursues its goal of achieving 500 GW of non-fossil fuel energy capacity by 2030, Emmvee’s aggressive capacity expansion underscores how domestic manufacturers are gearing up for a likely surge in demand.
