On October 28th local time, India's largest photovoltaic module manufacturer, Waaree Energies, went public in Mumbai. On that day, the company's stock price surged by as much as 75% during trading.
By the close of the market, the stock price of Waaree Energies had risen by 55.62%, with a total market value approaching $8 billion, equivalent to approximately 57 billion yuan in Chinese currency.
Waaree Energies is the largest photovoltaic module manufacturer in India and the only manufacturer on the government-approved ALMM manufacturer list with a 650W module model. Currently, the company has an annual solar module manufacturing capacity of 12GW and plans to establish a 5GW module factory in Houston, USA. According to the prospectus, for the three months ending in June, the company's operating revenue was 34.1 billion rupees, with profits exceeding 4 billion rupees.
Waaree Energies' initial public offering (IPO) has sparked strong interest from investors, with subscriptions exceeding 70 times, attracting investments from companies such as Goldman Sachs, BlackRock, and Morgan Stanley. Bloomberg noted that the support from well-known Wall Street investment banks highlights the appeal of India's renewable energy sector, with stocks in the industry rising by more than 300% this year. Among the top 10 performing companies in the Bloomberg World Energy Index, six are Indian companies.
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Waaree Energies' strong stock performance on its first day of listing may also signal that India's booming IPO market is back on track after a setback last week. Last week, Hyundai Motor India Limited's stock broke issue on its first day of listing following a record $3.3 billion IPO.
The latest report from Mercom India research shows that as of the first half of 2024, India added 11.3GW of solar module and 2GW of solar cell manufacturing capacity. The increase in manufacturing capacity is mainly driven by strong demand. Between 2024 and 2026, the total installed capacity of solar projects in India is 132.7 gigawatts, and the Model and Manufacturer Approval List (ALMM) order was reinstated from April 2024.
As of June 2024, India's cumulative manufacturing capacity for photovoltaic modules reached 77.2GW, and the total manufacturing capacity for solar cells reached 7.6GW. The top 10 manufacturers account for nearly 58% of the module volume and 100% of cell capacity. The report indicates that by 2026, India's solar module manufacturing capacity will reach 172GW, and cell capacity will approach 80GW.
On September 16th of this year, at a renewable energy investment conference, India's Minister of Renewable Energy, Pramod Joshi, stated that India has received commitments of $386 billion in investments from banks and financial institutions to expand the country's renewable energy capacity, aiming to achieve a goal of producing 500GW of renewable energy by 2030. Pramod Joshi noted that over the past decade, India's renewable energy installed capacity has increased from 75.52GW to over 207.7GW, a growth of 175%; during the same period, the total electricity generated from renewable energy in India increased by 86%.
According to data from India's Ministry of New and Renewable Energy (MNRE), from January to July of this year, India added 16.4GW of renewable energy, the highest level since 2015.
However, to achieve the goal of 500GW of renewable energy by the end of this decade, India may need to produce an average of about 50GW of renewable energy annually in the future. Indian Prime Minister Modi previously pledged that by 2030, renewable energy will meet at least half of India's energy demand, reduce carbon dioxide emissions by 1 billion tons; and achieve net-zero emissions by 2070.On September 16th, the Prime Minister of India invited global companies to invest in India's "green transition." Modi also expressed his hope that India would become a leader in green hydrogen production, and by 2025, there would be a 20% blend of ethanol in gasoline.
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