Solarworld Energy Solutions Limited has partnered with Rays Power Infra Private Limited to form a joint venture for setting up a 2.4 GW solar photovoltaic (PV) cell manufacturing facility at Mohasa in Narmadapuram, Madhya Pradesh. The joint venture, Rays Green Energy Manufacturing Private Limited, will be equally owned by both companies, with each holding a 50% stake. Solarworld Energy Solutions’ board approved the transaction at its meeting on September 7, 2026.
The facility will be established on approximately 41.30 acres of land allocated by the Madhya Pradesh Industrial Development Corporation, with construction already underway. The project will manufacture n-type TOPCon G12R cells, with commercial production expected to commence by June 2027.
The estimated project cost for the 2.4 GW facility is approximately Rs 1,000 crore, translating into a capital cost of about Rs 417 crore per GW. Solarworld Energy Solutions will invest up to Rs 100 crore in equity and extend a loan of up to Rs 320 crore to Rays Green Energy Manufacturing Private Limited to fund the project.
Separately, the board approved a variation in the utilisation of the company’s initial public offering proceeds. Solarworld Energy Solutions had raised Rs 550 crore through its IPO in September 2025, of which Rs 420 crore was originally earmarked for investment in its subsidiary, Kartik Solarworld Private Limited, for setting up a 1.2 GW facility at Pandhurana.
As of June 30, 2026, no amount had been deployed towards the Pandhurana project. The company now proposes to redirect the unutilised funds towards the new 2.4 GW joint venture facility.
The new facility is expected to offer improved capital efficiency and economies of scale, while benefiting from its location within a solar manufacturing cluster with established trunk infrastructure. Rays Green Energy Manufacturing Private Limited has already obtained consent to establish from the Madhya Pradesh Pollution Control Board.
The joint venture is also eligible for electricity at a subsidised tariff of approximately Rs 4.30 per unit under the applicable government scheme.
The joint venture will be governed by a securities subscription agreement and a joint venture agreement that provide for equal governance rights. These include nominee director appointments, affirmative voting rights, and pre-emptive rights on future issuances.
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