‘Our equity returns have improved due to lower module costs’

At the upper band, the valuation is about ₹12,800 crore. How do you defend that number in a cooling market?

If you step back and look at our journey, we have raised roughly ₹4,000 crore of cumulative equity over 15 years, including pre-IPO rounds. At ₹12,800 crore post-money, that represents about three times value creation. This is long-term compounding, not a short-cycle build-up. We believe the valuation reflects our 6-GW platform, long-duration contracted assets and improving project returns.

You are selling shares worth about ₹382 crore. Is that partial monetisation?

No. I had taken a personal loan earlier to buy back shares. The proceeds from this sale will go towards repaying that loan. It’s balance-sheet housekeeping, not cashing out.

How insulated is your business model from sector volatility?

We operate exclusively in the commercial and industrial renewable segment. Our weighted average PPA tenure is about 23 years. The majority of corporates prefer long-term contracts because renewable generation is capital-intensive and non-core for them. That gives us strong revenue visibility and predictable cash flows.

What does your current operating platform look like and how have the financials evolved?

We are a 6-GW platform. Of this, about 2.8 GW was operational as of September-end, and 3.2 GW is contracted and under execution over the next 24 months. We reported ₹1,000 crore in EBITDA last fiscal and ₹635 crore in the first half of the current fiscal. Over the past three years, our EBITDA CAGR has been about 58 per cent.

With tariffs on a downward trend, do you see returns compressing?

Historically, our weighted average dispatch tariff was around ₹4.3 per unit. For projects under construction, it is about ₹3.61 per unit. While customer tariffs have come down, our equity returns have improved due to lower module costs, better wind turbine efficiencies and improved capital structuring. Equity payback for projects commissioned in the past three years is around 2.5 years, compared with a historical average of 3.4 years.

Where do you see growth coming from?

Corporates account for nearly half of India’s electricity consumption, but only about 7 per cent of that demand is currently met through bilateral renewable arrangements. That leaves a very large headroom. Data centres and AI-driven infrastructure are also emerging as strong demand drivers. We believe the structural opportunity remains intact despite near-term valuation resets.