Websol Energy to invest INR30b for solar capacity addition

Websol Energy to invest INR30b for solar capacity addition

Websol Energy System, a prominent manufacturer of solar cells and modules, has announced a significant expansion plan to boost its solar cell and module capacity. The company plans to invest approximately INR 3,000 crore over the next two years to add a capacity of 4 gigawatts (GW) for both solar cells and modules [1].

The expansion, which will be carried out in two phases, is aimed at meeting India's growing demand for solar energy. The first phase, known as Phase III, is set for completion by June 2027, followed by the second phase, Phase IV, by June 2028. The investment will be financed through a combination of bank loans, equity, and internal funds [1].

In addition to the expansion plan, Websol Energy has also announced a 1-for-10 stock split. This move is expected to make the stock more affordable and accessible to a wider base of retail investors. The stock split will change the face value of the equity shares from Rs 10 to Rs 1, while the company's overall market capitalization and an investor's total holding value will remain unchanged. The stock split is expected to be completed by October 2025, pending approval from the company's members at the upcoming annual general meeting [1].

Websol Energy is a small-cap company with a market capitalization of Rs 5,463 crore. The company's products are used for solar energy panels for both commercial and industrial applications in India and other countries. Websol Energy has a reputation for producing reliable and quality solar products and has received various international certifications [1].

The expansion plan and stock split are part of Websol Energy's strategy to capitalize on the growing demand for renewable energy solutions. The company's focus on solar energy aligns with India's commitment to transitioning to cleaner and more sustainable energy sources.

References:
[1] https://economictimes.indiatimes.com/markets/stocks/news/smallcap-company-with-6000-return-in-5-years-announces-110-stock-split-check-details/articleshow/123636137.cms