Waaree Energies to Merge Indosolar in Rs 950 Crore Deal, Integrating Solar Cell and Module Operations

Waaree Energies Limited will merge group company Indosolar Limited with itself in a transaction valued at approximately ₹9.5 billion ($99.23 million), The proposed merger will consolidate the two companies’ solar manufacturing operations under a single entity.

Under the proposed arrangement, Indosolar shareholders will receive one share of Waaree Energies for every 11 shares held. The share-swap structure will provide Indosolar shareholders with equity in the combined company following completion of the transaction.

The merger is expected to bring solar cell and module manufacturing operations under one entity, with the companies stating that the integration could help generate cost savings and simplify the group’s corporate structure.

Both Waaree Energies and Indosolar are involved in the manufacture of solar photovoltaic (PV) modules. However, their manufacturing capabilities differ, particularly in solar cell production.

According to the information cited by Reuters, Indosolar does not have its own solar cell production capacity and currently depends on Waaree Energies and other manufacturers for its cell requirements. The merger would therefore integrate Indosolar’s module operations more closely with Waaree Energies’ broader manufacturing capabilities.

The proposed transaction is aimed at streamlining the group’s solar manufacturing structure by bringing the operations under a common corporate entity. The companies said the consolidation is expected to support cost savings and simplify the overall group structure.

The integration also comes as solar manufacturers increasingly look to strengthen control over different stages of the PV manufacturing value chain. Bringing cell and module manufacturing activities together can allow companies to coordinate production and procurement more closely.

As part of the proposed merger, Indosolar shareholders will receive one Waaree Energies share for every 11 Indosolar shares held. The arrangement will result in Indosolar being absorbed into Waaree Energies, subject to the applicable merger process and approvals.

The transaction places Indosolar’s module manufacturing operations within Waaree Energies while eliminating the need for the two group entities to maintain separate corporate structures for their respective activities.

The deal, valued at around ₹950 crore, represents another consolidation in India’s rapidly expanding solar manufacturing sector, with the proposed integration bringing Waaree Energies and Indosolar’s PV manufacturing activities under one company.