ACME Solar Holdings Limited, a prominent renewable energy firm in India, has achieved a significant milestone as CRISIL Ratings assigned a ‘CRISIL AA-/Stable’ rating to ₹2,086 crore worth of long-term bank facilities availed by its two major subsidiaries — ACME Deoghar Solar Power Private Limited (ADSPPL) and ACME Phalodi Solar Power Private Limited (APSPPL). These projects are a part of ACME’s 600 MW solar power infrastructure in Rajasthan, solidifying the company’s position in the renewable energy space.

This rating upgrade comes as a strong endorsement of ACME Solar’s financial robustness, project execution efficiency, and long-term sustainability of revenues from these assets. CRISIL has acknowledged ACME’s secure revenue model underpinned by a 25-year Power Purchase Agreement (PPA) with the Solar Energy Corporation of India Limited (SECI). These fixed-tariff agreements not only ensure predictable and consistent cash flows over the contract period but also mitigate risks related to market volatility and buyer defaults.

The rating report published on July 25, 2025, highlighted that both the ACME Deoghar and ACME Phalodi projects have demonstrated exceptional operational performance, delivering above-predicted energy generation levels — ~31.3% CUF (Capacity Utilisation Factor) for Deoghar and ~30.9% for Phalodi. This performance is significantly higher than industry averages, indicating superior asset management and efficiency.

Furthermore, the capital cost efficiency at which these projects were developed adds another feather in ACME’s cap. Efficient deployment of capital has not only helped reduce project risks but also maximised returns. The cumulative loan of ₹2,086 crore for these projects was sanctioned by the Power Finance Corporation Limited, reflecting the confidence of financial institutions in ACME’s long-term project viability.

CRISIL also noted that this development marks a major turning point for ACME Solar Holdings Limited, as all four of its commissioned assets in Fatehgarh, Rajasthan have now achieved AA category ratings from CRISIL within just six months of operation. This achievement opens up significant opportunities for refinancing, issuance of green bonds, and capital market fundraising — critical tools for further expansion and project pipeline development.

The Stable outlook from CRISIL reflects confidence in the continuity of timely SECI payments and sustained strong performance of the operational assets. These factors together ensure that ACME is well positioned to maintain its strong credit profile and financial health over the medium to long term.

As part of its press release, ACME Solar also reiterated its commitment to continue leading India’s clean energy transition, supported by its operational capacity of 2,890 MW and a growing development pipeline of 4,080 MW, including 550 MWh in energy storage. The company also operates with its own in-house EPC (Engineering, Procurement, and Construction) and O&M (Operations and Maintenance) arms, ensuring end-to-end control over project timelines, costs, and operational efficiency.

This rating event not only boosts investor confidence in ACME Solar’s strategic direction but also aligns with the Indian government’s push towards energy security and carbon neutrality. With consistently high performance across projects, efficient capital management, and long-term PPAs with SECI, ACME Solar is emerging as a reliable and scalable energy infrastructure provider.

The CRISIL AA-/Stable rating also positions the company favorably for further international financing, particularly from institutions looking to support sustainable development and renewable energy initiatives in emerging markets like India.

In essence, this recognition reinforces ACME Solar’s leadership in the solar energy sector and its potential to drive transformational impact in India’s renewable journey. The 600 MW project in Rajasthan, split between Deoghar and Phalodi, is not just an infrastructure milestone but also a testament to ACME Solar’s ability to deliver superior outcomes in highly competitive and regulated energy markets.

With regulatory support, high performance, and strong backing from rating agencies like CRISIL, ACME Solar is set to scale further heights and continue contributing to India’s clean energy capacity addition goals, while ensuring strong returns for stakeholders and secure cash flows for financiers.

This achievement makes ACME Solar’s journey an exemplary case of how project delivery excellence, financial discipline, and strategic vision can lead to top-tier ratings and industry recognition. Investors, regulators, and stakeholders alike will closely watch the company's next moves as it leverages this rating to expand its energy footprint across India and beyond.

As of July 2025, ACME Solar’s rising performance and recognition through CRISIL’s AA-/Stable rating reaffirm its position as a top-tier renewable energy developer in India.

The Upcoming IPOs in this week and coming weeks are M&B Engineering, Cash Ur Drive Marketing, Renol Polychem, Jyoti Global Plast, Takyon Networks, Mehul Colours, Aditya Infotech, Sri Lotus Developers & Realty, Lakshmi India Finance, Jyoti Global Plast, B.D. Industries (Pune), Kaytex Fabrics, Umiya Mobile, Repono, NSDL.

The Current active IPO are Shree Refrigerations, Sellowrap Industries, Shanti Gold International, Patel Chem Specialities, Brigade Hotel Ventures, Indiqube Spaces, GNG Electronics, TSC India.

Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX.

Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst.