Avaada Electro Limited, an integrated solar photovoltaic manufacturer in India, has filed its Updated Draft Red Herring Prospectus (UDRHP) with the Securities and Exchange Board of India (SEBI) for a proposed initial public offering (IPO) of up to ₹7,600 crore.
The proposed IPO comprises a fresh issue of equity shares aggregating up to ₹1,600 crore and an Offer for Sale (OFS) of up to ₹6,000 crore. The OFS will be undertaken by Avaada Ventures Private Limited, the company’s promoter selling shareholder. The equity shares will have a face value of ₹5 each.
IPO Proceeds to Fund Debt Repayment
Avaada Electro plans to utilise ₹1,200 crore from the net proceeds of the fresh issue towards the prepayment, repayment and/or payment of obligations to lenders related to certain borrowings and acceptances under letters of credit.
The remaining proceeds from the fresh issue will be used for general corporate purposes.
Expanding Integrated Solar Manufacturing Capacity
Avaada Electro, incorporated in 2021 and backed by Avaada Group, currently has 8.5 GW of operational solar module manufacturing capacity and 3 GW of operational TOPCon solar cell manufacturing capacity.
The company plans to expand its manufacturing footprint significantly by FY2028. It expects to reach 13.60 GW of solar module capacity, 12 GW of solar cell capacity and 3 GW of ingot and wafer capacity. Upon completion, the planned expansion is expected to provide an integrated manufacturing ecosystem spanning ingots, wafers, solar cells and modules.
The company operates two manufacturing facilities. Its Dadri facility in Uttar Pradesh has 1.5 GW of annual module manufacturing capacity, while its principal facility in Nagpur, Maharashtra, has 7 GW of operational module capacity and a 6 GW solar cell facility, including 3 GW under commissioning.
Avaada Electro said its Dadri facility was commissioned within four months of construction commencing, while the Nagpur facility achieved operational readiness within seven months of greenfield development.
Focus on TOPCon Technology and Product Expansion
The company has adopted N-type TOPCon technology across its existing module manufacturing lines. Its commercially listed bifacial glass-to-glass TOPCon modules have efficiencies of up to 23.61%, with a bifaciality rate of approximately 80–85%.
Avaada Electro was also among the early Indian manufacturers to introduce 720 Wp TOPCon solar modules and has reported a cell-to-module power loss of approximately 2%, compared with an industry average of around 4%.
Its solar cell efficiency, as listed under List II of the Approved List of Models and Manufacturers (ALMM), ranges from 24.5% to 26.3%.
The company is also planning to introduce its energy storage solution, Avaada Halo, alongside its solar module business and enter third-party engineering, procurement and construction (EPC) and operations and maintenance (O&M) segments.
Revenue Surges in FY26
Avaada Electro reported a sharp increase in financial performance during FY26. Revenue from operations rose to ₹5,303.52 crore from ₹911.62 crore in FY25.
EBITDA increased to ₹1,258.86 crore from ₹241.68 crore, while profit after tax rose to ₹888.74 crore from ₹173 crore during the same period.
The company’s order book also expanded significantly, rising more than sevenfold from 2,555 MW to 19,106 MW in one year. During the same period, module installed capacity increased from 1.5 GW to 8.5 GW, while production increased from 0.63 GW to 3.77 GW.
Avaada Energy, a group company and anchor customer, contributed 89% of Avaada Electro’s FY26 revenue from operations.
Manufacturing Ecosystem and Domestic Demand
Avaada Electro is developing a vertically integrated manufacturing ecosystem and is strategically co-locating ancillary components, including solar glass, aluminium frames and encapsulants, near its manufacturing facilities. The company expects the approach to reduce logistics costs and turnaround times while improving inventory management.
The company is also targeting rooftop and residential consumers, particularly in urban and semi-urban markets, and plans to participate in government programmes including PM-Surya Ghar, PM-KUSUM and CPSU projects linked to domestic content requirements.
In March 2023, Avaada Electro was awarded 3 GW of integrated wafer-to-module manufacturing capacity under the Production Linked Incentive (PLI) Scheme. It is eligible for incentives of up to ₹961.62 crore, subject to applicable conditions and commissioning timelines.
ALMM Expansion Could Support Integrated Manufacturers
The company expects India’s evolving domestic-content requirements to support integrated solar manufacturers. From June 1, 2026, solar modules used in specified projects covered under the applicable ALMM framework are required to source cells from domestic manufacturers listed under ALMM List-II.
The Ministry of New and Renewable Energy (MNRE) has also proposed the introduction of ALMM List-III for domestically manufactured wafers from 2028, which could create additional opportunities for manufacturers with integrated wafer, cell and module capabilities.
The company said its modules were recently recognised as a “Top Performer” in the Kiwa PVEL 2026 PV Module Reliability Scorecard across applicable reliability and durability tests.
ICICI Securities Limited, Axis Capital Limited, BofA Securities India Limited, HSBC Securities and Capital Markets (India) Private Limited, SBI Capital Markets Limited and IIFL Capital Services Limited are acting as the Book Running Lead Managers to the IPO.
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