A special requirement of the voltage regulator module (VRM) is fast transient response with fight output voltage tolerance. This paper proposes an Interleaved Three-Level Forward Converter (ITLFC), which can reduce the output inductor significantly so that the transient response is improved. Further analysis shows that, for VRM, the output capacitor can be reduced as well, which means the higher power density can be achieved. So ITLFC is very suitable for the application of VRM. A 48V input, 0.8V/100A output prototype is built to verify the operation principle of the proposed ITLFC.