Syrma SGS Technology Limited will acquire a 49% equity stake in KSolare Energy Private Limited, a solar inverter manufacturer, for ₹83.3 crore. This acquisition allows Syrma SGS to enter the fast-growing residential solar inverter segment, aligning with the Indian government’s PM Surya Ghar Muft Bijli Yojana. The total deal for 100% of KSolare is valued at ₹170 crore, with Premier Energies Limited acquiring the remaining 51% stake.
Strategic Acquisition Rationale
Syrma SGS Technology is set to acquire a significant stake in KSolare Energy Private Limited, a leading solar inverter manufacturer. This move is designed to expand Syrma SGS’s footprint in the renewable energy sector, specifically targeting the fast-growing residential solar inverter market. The acquisition is aligned with the Indian government’s initiatives to promote solar energy adoption across households.
Deal Structure and Financials
The acquisition involves Syrma SGS acquiring a 49% equity stake in KSolare for approximately ₹83.3 crore. Premier Energies Limited (PEL) will acquire the remaining 51% stake. This combined acquisition values 100% of KSolare at ₹170 crore. The deal is expected to be completed within 90 days, subject to customary closing conditions.
About KSolare Energy
KSolare Energy Private Limited, established in 2012, is a Pune-based manufacturer of solar inverters and provider of smart energy solutions. The company operates a manufacturing facility in Pune with a production capacity of 500,000 inverters per annum. KSolare specializes in designing and manufacturing on-grid, off-grid, and hybrid solar inverters for the residential market. The company’s revenue for FY25 stood at ₹342 crore.
Financial Overview
The recent financial performance of KSolare Energy includes:
- FY25: ₹342 Cr
- FY24: ₹226 Cr
- FY23: ₹145 Cr
Future Synergies
This acquisition is expected to create significant synergies, with Premier Energies leveraging its extensive sales and distribution network in the solar sector and Syrma SGS contributing its expertise in electronics manufacturing. The transaction is expected to enhance Syrma SGS’s market position and contribute to its growth in the renewable energy sector.
Source: BSE
