Waaree Energies announced that its Board approved increasing its equity stake in subsidiary Waaree Transpower Private Limited from 64.04% to 75.10%. Additionally, the Board sanctioned a massive Rs. 3900 crore Capital Expenditure to establish a new 2500 TPD glass manufacturing plant via its wholly-owned subsidiary. The acquisition in the related party subsidiary is set to be completed by June 2026, funded through a mix of debt and internal accruals.
Board Sanctions Key Strategic Moves
The Board of Directors of Waaree Energies Limited met on March 24, 2026, to approve two significant corporate actions aimed at capacity expansion and increased control over key operations. These decisions align with the company’s long-term growth strategy.
Increased Stake in Waaree Transpower
The first major resolution involved the acquisition of an additional equity stake in its subsidiary, Waaree Transpower Private Limited (formerly Kotsons Private Limited). The stake will increase from the existing 64.04% to a controlling 75.10% of the paid-up equity share capital. The acquisition price for these shares was set at Rs 75 per share (face value Rs 10), totaling an investment of Rs. 190 crore for 2.53 crore equity shares. The indicative time period for the completion of this acquisition is June 2026.
Subsidiary Profile (WTPL)
WTPL, incorporated in 1978, specializes in designing, manufacturing, and supplying transformers, including Oil Filled, Dry Type, Special Purpose, and Renewable Energy solutions. Its current plant capacity is 4,000 MVA. The turnover for the last three completed fiscal years were:
- 2022-23: 16.45 crores
- 2023-24: Nil
- 2024-25: 8.47 crores
Massive Capital Expenditure Approved
The Board also approved a substantial Capital Expenditure program amounting to Rs. 3900 crores. This Capex is designated for establishing a new glass manufacturing plant within Waaree Green Glass Private Limited, a wholly-owned subsidiary, which will possess a capacity of 2500 TPD. The company intends to fund this major expansion through a combination of Debt and Internal accruals, supporting necessary capacity expansion and capital requirements.
Disclosure Context
It was noted that the transaction involving WTPL constitutes a Related Party Transaction, as WTPL is a subsidiary, but it is being conducted at arms length pricing.
The Board Meeting commenced at 02:00 p.m. and concluded at 03:45 p.m. on the date of the announcement.
Source: BSE
