Shakti Pumps (India) Limited has invested ₹11 crore in its wholly-owned subsidiary, Shakti Energy Solutions Limited. This investment is earmarked for establishing a new greenfield manufacturing plant in Pithampur, Madhya Pradesh. The facility will focus on producing high-efficiency Solar DCR cells and Solar PV modules, with an ambitious production capacity of 2.20 GW. This strategic move signals the company’s expansion into the renewable energy sector.
Shakti Pumps Expands Solar Manufacturing Capacity
Shakti Pumps (India) Limited has announced a significant investment of ₹11,00,00,000/- (Rupees Eleven Crores Only) into its wholly-owned subsidiary, Shakti Energy Solutions Limited. This capital infusion is designated for the establishment of a new greenfield manufacturing facility.
New Solar Plant in Pithampur
The new plant, to be located in Pithampur, Madhya Pradesh, will specialize in the manufacturing of high-efficiency Solar DCR cells and Solar PV modules. The facility is projected to have a substantial production capacity of 2.20 GW, marking a significant expansion for the company into the renewable energy sector. Shakti Energy Solutions Limited was incorporated on 06th September 2010.
Financial Details and Rationale
The investment has been made through cash, by subscribing to the equity shares of the subsidiary. The objects of this acquisition are to set up the aforementioned manufacturing plant, aligning with the company’s strategy to expand its footprint in the solar energy market. The business of the acquired entity (Shakti Energy Solutions Limited) is within the scope of the listed entity’s interest in renewable energy manufacturing.
Details regarding the turnover of Shakti Energy Solutions Limited for the previous three financial years are as follows:
- FY 2024: Rs. 139.59 Crores
- FY 2025: Rs. 216.53 Crores
- FY 2026: Rs. 239.11 Crores
The company confirmed that this investment does not fall under related party transactions, and therefore, the ‘arm’s length’ basis is not applicable. No governmental or regulatory approvals are required for this acquisition, and the completion is effective on the same day.
Source: BSE
