JK Tyre & Industries Ltd. has approved an investment of up to ₹1.38 Crore to acquire a 26% equity stake in STTY RE Banmore Ltd. (formerly STFN RE Ltd.). This strategic move aims to secure solar power from a 6 MWp Captive Power Project, enhancing operational efficiency and reducing energy costs. The investment is expected to be completed within 90 days.
Strategic Investment in Renewable Energy
JK Tyre & Industries Ltd. announced today, August 7, 2026, that its Board of Directors has approved an investment of up to ₹1.38 Crore. This investment will secure a minimum of 26% shareholding in STTY RE Banmore Ltd. (STRBL), a new entity focused on renewable energy. STRBL was incorporated on March 10, 2025, and its name was changed on July 8, 2026.
Captive Solar Power Project
The primary objective of this acquisition is to establish a 6 MWp Solar Power Project under the Captive Power Route. STRBL, acting as the developer, will manage the entire project capex of approximately ₹17.70 Crore. JK Tyre’s investment of ₹1.38 Crore will represent its 26% equity holding, enabling the company to procure solar power at a competitive market rate for a period of 25 years. This initiative aligns with the company’s strategy to enhance operational sustainability and potentially reduce energy expenditure.
Transaction Details
The acquisition is considered a related party transaction as STRBL is a subsidiary of Sago Trading Ltd., a Promoter Group Constituent. However, the transaction is being conducted on an ‘arm’s length’ basis, a move that has been approved by the company’s Audit Committee. No regulatory or governmental approvals are anticipated for this acquisition. The company expects the transaction to be completed within an indicative timeframe of 90 days from the announcement date.
Source: BSE
