GAIL has completed the acquisition of a 49% equity stake in Leafiniti Bioenergy Private Limited (LBPL), which operates a Compressed Bio Gas (CBG) plant in Karnataka. The acquisition cost was Rs. 13,54,32,150. This strategic move, confirmed on March 18, 2026, aims to facilitate the setting up of new CBG projects, aligning with GAIL’s expansion into the Bio Fuel sector. LBPL reported a turnover of Rs. 28.42 Crore in FY 2024-25.
Strategic Equity Acquisition in Bioenergy Sector
GAIL (India) Limited has formalized its acquisition of 49% equity participation in Leafiniti Bioenergy Private Limited (LBPL). This transaction was finalized on March 18, 2026. The primary objective of this equity participation is the establishment of new Compressed Bio Gas (CBG) projects through LBPL, furthering GAIL’s involvement in the Bio Fuel – Compressed Bio Gas (CBG) industry.
Target Entity Profile
LBPL currently owns and operates a CBG plant in Karnataka with a capacity of 10.2 TPD of CBG. The turnover history for LBPL over the last three fiscal years is as follows: FY 2024-25 saw a turnover of Rs. 28.42 Crore, FY 2023-24 reported Rs. 10.10 Crore, and FY 2022-23 reported Rs. 9.29 Crore.
Financial Details of the Transaction
The total acquisition cost for the 1,35,43,215 equity shares was Rs. 13,54,32,150. These shares were subscribed at a face value of Rs. 10 per share. The consideration paid was in the form of cash for the subscription of equity share capital. The transaction confirms that this acquisition does not fall under Related Party Transactions as per prevailing regulations.
Regulatory Approvals
The acquisition received the necessary governmental concurrence. The Department of Investment and Public Asset Management (DIPAM) conveyed its approval via an Office Memorandum dated January 22, 2026, which was subsequently communicated by the Ministry of Petroleum and Natural Gas (MOPNG) via letter dated February 4, 2026.
Source: BSE
