Havells India has approved acquiring a 26% stake in Kundan Solar (Pali) Private Limited for INR 5.63 Crores. This Special Purpose Vehicle (SPV) focuses on developing, installing, operating, and maintaining solar power plants. This investment will enable Havells to strategically reduce dependence on fossil fuels and save on power costs at Rajasthan plants. The solar plant is expected to be commissioned in Q2 FY26-27.
Strategic Investment in Solar Power
Havells India announced its investment into renewable energy through the acquisition of a 26% stake in Kundan Solar (Pali) Private Limited. This decision was made during a meeting held on November 26, 2025. This investment underscores Havells’ commitment to sustainable energy practices and optimizing operational costs.
Kundan Solar Overview
Kundan Solar, incorporated on April 3, 2025, operates as a Special Purpose Vehicle (SPV) under Kundan Green Energy Private Limited, itself a part of the Kundan Group. Its primary activity is developing, installing, operating, and maintaining solar power plants.
Deal Rationale
The investment into Kundan Solar is intended to reduce dependence on traditional fossil fuels. Kundan Solar will establish a 15 MWac solar power plant, and Havells intends to secure a long-term Power Purchase Agreement (PPA) for up to 25 years.
Financial Details and Timeline
The total investment value is INR 5.63 Crores, securing a 26% stake in Kundan Solar. The project is slated for completion by June 30, 2026, and commissioning is expected in Q2 FY26-27. Savings in power costs are projected at plant locations in Rajasthan, with payback anticipated within approximately 12-18 months from commissioning.
Regulatory Context
Havells is required to maintain a minimum of 26% shareholding in the solar entity to qualify as a captive consumer under electricity laws.
Source: BSE