India’s renewable energy sector has seen a surge in sector stocks
India’s leading solar panel company, Waaree Energies, has launched its initial public offering on the local stock exchange. The US$514 million listing of the company triggered a rapid rise in shares in the alternative energy sector. Shares in the renewable energy company rose 357%.
The company was valued at US$5 billion. On the first day of trading, the stock traded in the range of Rs 1,427-1,503. Market participants were optimistic about the company’s IPO, which caught the attention of a large number of investors. Earlier, giants like Morgan Stanley, Goldman Sachs, and BlackRock had invested in the company.
Initially, the company put more than 21 million of its shares on the market. Most of them were snapped up by traders in the first few hours. According to experts, the success of Waaree’s listing is due to the high activity seen on the Mumbai Stock Exchange.
India alternative energy industry
India is ahead of other markets in terms of the number of deals, including in the renewable energy sector. The country’s alternative energy industry is growing strongly, demonstrating its readiness to transition to a sustainable economy. The support of global investment banks is further fueling this trend. Unsurprisingly, the share of local renewable energy producers has increased by 357% over 2024. The sector’s prospects also appear in Bloomberg’s World Economy Index. Of the ten companies in it, six are Indian.
WhiteOak’s Ramesh Mantri is bullish on the country’s alternative energy sector. He believes that local renewable energy sources will be actively developed over the next three years. As a result, more foreign investment is likely in the industry.
The government is also paying serious attention to alternative energy. The Indian authorities plan to increase green energy production to 500 GW by 2030. This is more than double the current amount of renewable energy. Waaree’s share placement indicates strong investment interest in the sector. Whether there will be sufficient investment to develop the sector, however, remains to be seen. Bloomberg Intelligence forecasts that the industry will need more than US$2 billion by 2050. This amount would meet the government’s ambitious targets for transitioning to a sustainable economy.
About the company
Waaree Energies is the country’s largest manufacturer of solar power plants. The company has over 10,000 completed projects with a total capacity of 600MW. Waaree offers the following services:
– solar power plant project development;
– project financing;
– facilities construction;
– solar panels production;
– power plant management.
The company invests in renewable energy development and works with both commercial and industrial customers. Waaree offers tailor-made solutions for the construction of plants of various sizes. These can range from stand-alone panels to entire solar parks.
