Shakti Pumps Raises ₹292.6 Crore via QIP to Build 2.2 GW Solar Plant in Madhya Pradesh

On July 7, 2025, Shakti Pumps (India) Limited announced that it successfully closed its Qualified Institutions Placement (QIP), raising ₹292.60 crore. The offering attracted strong interest from both existing and new institutional investors, highlighting their confidence in the company’s growth plans.

Funds to Fuel New Solar Manufacturing Plant

The funds raised will be used to build a greenfield manufacturing facility for high-efficiency solar DCR (Domestic Content Requirement) cells and solar PV modules. The plant will be set up in Pithampur, Madhya Pradesh, through Shakti Energy Solutions Limited, a subsidiary of Shakti Pumps. It will have a production capacity of 2.2 GW.

This move will help the company strengthen its backward integration, giving it better control over its entire production process and supporting its solar pumping business.

Issue Details and Pricing

The QIP was priced at ₹918 per share, offering a 4.97% discount compared to the SEBI floor price of ₹965.96. The raised funds will further improve the company's financial position and help drive its strategic initiatives.

Mr. Dinesh Patidar, Chairman of Shakti Pumps, said,"We are thrilled by the enthusiastic response to our QIP. This shows the trust investors have in our business model and future plans. We look forward to using these funds to fuel growth and create more value for stakeholders."

About Shakti Pumps

Founded in 1982 and listed as a public company in 1995, Shakti Pumps manufactures solar pumps, stainless-steel submersible pumps, pressure booster pumps, motors, and related equipment. The company operates two plants in Pithampur, with a total production capacity of 500,000 pumps and motors annually.

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Shakti Pumps Share Price Movement

As of July 7, 2025, at 3:30 PM IST, Shakti Pumps (India) share price was trading at ₹927.80, down ₹9.15 or 0.98% for the day. The stock opened at ₹940.00, touched an intraday high of ₹944.85, and a low of ₹925.00. The company has a market capitalisation of ₹11,130 crore and a price-to-earnings (P/E) ratio of 27.31. Over the past year, the share price has ranged between a 52-week low of ₹645.16 and a high of ₹1,387.00.

Conclusion

Shakti Pumps’ successful fundraising marks a significant milestone in its journey to expand its solar manufacturing capabilities. The new 2.2 GW plant will not only strengthen its position in the renewable energy market but also reinforce its commitment to sustainable growth and innovation in solar pumping solutions.

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