Vishvaraj Environment (VEL) Files Draft Papers with SEBI for ₹2,250 Crore IPO to Expand Water and Renewable Portfolio

Mumbai, 30 September 2025: Vishvaraj Environment Limited (VEL) has submitted its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for an Initial Public Offering (IPO) aggregating up to ₹2,250 crore. The proposed issue includes a fresh issue of ₹1,250 crore alongside an offer for sale (OFS) of ₹1,000 crore by promoter entity Premier Financial Services Pvt. Ltd., signalling the company’s intent to strengthen its capital base while providing liquidity to existing shareholders.

Promoted by Arun Lakhani and family along with Premier Financial Services Pvt. Ltd., Vishvaraj Environment Limited is a major player in integrated water and wastewater management, recycling, and infrastructure development, with a presence in the Maldives for water and sewerage projects. The company’s operations span from municipal wastewater treatment to renewable energy, demonstrating a diversified portfolio and strategic growth trajectory.

Vishvaraj Environment IPO Structure Highlights ₹2,250 Crore Fundraise with Pre-IPO Placement Option

VEL has structured the IPO with both a fresh issue and promoter stake sale. The fresh issue of ₹1,250 crore aims to fuel expansion plans, while the OFS of ₹1,000 crore allows Premier Financial Services Pvt. Ltd. to partially monetise its holdings. Additionally, a pre-IPO placement of up to ₹250 crore is envisaged, which could reduce the fresh issue size if executed. The IPO is being managed by JM Financial, Axis Capital, DAM Capital Advisors, and MUFG Securities India, indicating a strong institutional backing.

Vishvaraj Environment IPO Robust Project Portfolio with 90+ Plants Driving ₹1,60,113 Crore Order Book Growth

VEL, founded in 2008 and headquartered in Mumbai, operates in water treatment, sewage management, waste recycling, and renewable energy projects. As of 31 March 2025, the company manages 30 water treatment plants with 2,090.10 MLD capacity and 60 sewage treatment plants totaling 1,706.57 MLD, underpinned by a strong order book of ₹1,60,113.44 crore, reflecting nearly 4x growth since FY23. Landmark projects include the 190 MLD wastewater reuse plant in Nagpur and a 50 MLD tertiary treatment plant in Chandrapur, showcasing the company’s operational scale and strategic execution.

Vishvaraj Environment IPO Expanding into Renewable Energy with 201 MW Solar Projects to Diversify Portfolio

VEL has also ventured into renewable energy, planning 201 MW solar power projects in Maharashtra, reinforcing its integrated approach to sustainable infrastructure. This diversification positions the company to benefit from growing renewable energy demand while complementing its water and wastewater management operations.

Vishvaraj Environment IPO Strong Financial Performance with Revenue Surging 62% CAGR Over FY23-FY25

The company’s financial performance demonstrates robust growth. Revenue expanded from ₹16,584 million in FY23 to ₹66,901 million in FY25, representing a 62% CAGR over two years. Profit after tax (PAT) rose from ₹1,240 million to ₹5,992 million, highlighting improved operational efficiency and scale. The company also reported assets under management (AUM) of ₹66,779 million by FY25 and achieved a global ranking of 24th among private water operators, reflecting its growing prominence in the sector.

The DRHP filing highlights VEL’s strategy to strengthen its balance sheet, expand operations in water and wastewater management, and diversify into renewable energy projects. With a rapidly growing order book and strong financial performance, the company is positioning itself for operational scale and enhanced infrastructure capabilities.

REF: https://nsearchives.nseindia.com/corporate/Registration_29092025131507_DRHP.pdf

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