Hitesh Doshi’s remarkable journey from a small village in Maharashtra to becoming a billionaire exemplifies the transformative power of vision and determination in India’s burgeoning renewable energy sector. His company, Waaree Energies, recently made headlines with a staggering IPO that has not only doubled his family’s wealth but also positioned him at the forefront of India’s clean energy revolution.
A Humble Beginning
In 1985, Hitesh Chimanlal Doshi set out from Tunki, a quaint village in Maharashtra, with aspirations that transcended his humble origins. Armed with a modest Rs 5,000 loan from a relative, he ventured into the hardware and electronics trade in Mumbai. This initial foray into business allowed him to finance his education at Shri Chinai College of Commerce and Economics, laying the foundation for his future entrepreneurial endeavors.
The Leap into Manufacturing
After completing his studies, Doshi took a significant risk by borrowing Rs 1.5 lakh to start his first manufacturing company. His focus was on producing pressure gauges, industrial valves, and gas station equipment. However, recognizing the shifting landscape of the energy sector, he pivoted towards trading power equipment. His strategic decisions bore fruit as he secured substantial orders from international clients in the United States and Europe.
The Solar Shift
A pivotal moment in Doshi’s career occurred in 2007 during a trade exhibition in Germany, where he was inspired by the potential of solar energy. This revelation prompted him to divest his thermal equipment business and focus solely on solar energy, leading to the establishment of Waaree Energies. The company’s name pays homage to the Wari temple in his village, symbolizing Doshi’s roots and his commitment to his homeland.
Waaree Energies: A Market Leader
Today, Waaree Energies stands as India’s largest solar module manufacturer, boasting an impressive production capacity of 12,000 megawatts, with a significant portion of its output destined for export to the US. The company has capitalized on the increasing demand for solar energy, particularly in light of tariffs on Chinese solar products, making Indian exports more appealing.
According to Ninad Sarpotdar, an equity analyst at Aditya Birla Capital, “Waaree’s position as the largest capacity holder sets it up for further growth.” The company’s expansion into cell and wafer manufacturing is seen as a strategic move that will enhance cost control and solidify its market dominance.
IPO Success: Doubling Wealth and Future Plans
Waaree Energies made headlines with its recent IPO, which raised $514 million and nearly doubled the Doshi family’s wealth to $5.3 billion (approximately Rs 45,000 crore). The funds from this successful IPO will be directed towards ambitious expansion projects, including the establishment of a 6-gigawatt manufacturing plant in Odisha and a solar module unit in the United States. Additionally, Waaree is developing a solar cell manufacturing unit in Chikhli, Gujarat, further strengthening its foothold in the renewable energy sector.
Contributing to India’s Renewable Energy Landscape
India’s renewable energy sector has grown significantly, supported by substantial government investments and favorable policies. As of October 2024, renewable energy accounts for nearly half of the country’s total installed capacity, with solar energy representing 20% of the 457 gigawatt total capacity. Companies like Waaree Energies are not just participants but leaders in this transformative landscape.
The surge in investor interest in India’s renewable sector reflects a global shift towards clean energy solutions. With its new manufacturing capacities and robust business model, Waaree Energies is poised to meet the increasing demand for renewable energy, marking a significant milestone in India’s ongoing IPO boom.
