APAR Industries Limited announced that its Board of Directors approved two significant capital transactions on March 18, 2026. The first is an additional investment, not exceeding USD 5 million, into its wholly-owned subsidiary, APAR USA LLC. The second involves an investment of up to Rs. 10.76 crores in its Associate Company, Clean Max Rudra Private Limited, to acquire a stake in new hybrid wind and solar power facilities.
Outcome of Board Meeting on March 18, 2026
The Board of Directors of APAR Industries Limited, following a meeting held on March 18, 2026, sanctioned two major capital allocation decisions aimed at supporting both international operations and domestic renewable energy expansion.
Investment in Wholly Owned Subsidiary (WOS)
The Board approved an additional capital contribution to APAR USA LLC (formerly CEMA Wires & Cables LLC), USA. This funding is intended for the WOS’s business needs, specifically supporting its product lines in conductors and cables. The maximum amount approved for this infusion is USD 5 million. The Company confirmed that this contribution falls under the ambit of Related Party Transactions due to common directorship, but the transaction is considered to be at an “arm’s length” basis. APAR’s shareholding in the WOS will remain at 100% post-infusion. The APAR USA LLC reported Nil turnover for FY 2024-25.
Investment in Associate Company for Renewable Energy
The second key approval involves an investment up to Rs. 10.76 crores in Clean Max Rudra Private Limited, which is an Associate Company and operates as a Special Purpose Vehicle (SPV).
Details of the Energy Project
- Purpose: Availing another wind and solar hybrid power generation facility located at Kalikanagar, Rajkot, Gujarat.
- Capacity: The project involves wind turbine generators with a 9.90 MVA capacity and solar capacity of 7.34 MWp (DC).
- Shareholding Impact: APAR currently holds 26% in the SPV. The new investment of approximately Rs. 10.76 Crores will be used to acquire fresh Equity Shares, ensuring APAR maintains its 26% stake in the proposed expanded paid-up capital on a fully diluted basis.
- Related Party Status: The SPV is an Associate Company of APAR, confirming the transaction is a Related Party Transaction, executed on an arm’s length basis.
The Board meeting commenced at 14:32 hours (IST) and concluded at 14:45 hours (IST).
Source: BSE
