Shakti Pumps (India) Limited has committed ₹3.8 crore to its wholly owned subsidiary, Shakti Energy Solutions Private Limited (SESPL), by subscribing to 3.8 crore equity shares priced at ₹1 per share, the company announced on Friday. The investment is aimed at supporting the growth of SESPL, which specializes in manufacturing solar structures and providing polyhouse and solar rooftop solutions.
The transaction was completed on the same day as the announcement, and no regulatory approvals were necessary. SESPL, established in September 2010, has experienced fluctuating performance over the last three fiscal years.
In FY24, the subsidiary reported a turnover of ₹139.59 crore, an increase from ₹99.15 crore in FY23, although lower than the ₹154.63 crore achieved in FY22. The company clarified to both the National Stock Exchange of India and BSE Limited that this investment does not constitute a related party transaction, as SESPL is already fully owned by Shakti Pumps.
The equity shares will be issued in stages based on the agreement between the two companies. This capital infusion is part of Shakti Pumps’ strategy to strengthen its position in the solar energy solutions market and further enhance its core business operations.
Shakti Pumps (India) Limited is a leading manufacturer of energy-efficient pumps and solar-powered solutions based in India. Established in 1982, the company specializes in a wide range of pumps, including submersible, centrifugal, and solar pumps, catering to various industries such as agriculture, water supply, and industrial sectors.
Shakti Pumps is recognized for its innovation in solar pumping systems, offering sustainable alternatives for irrigation, drinking water, and other water management needs. With a strong focus on quality and sustainability, the company has established a prominent presence both domestically and internationally. Shakti Pumps continues to drive the adoption of renewable energy solutions, contributing to energy efficiency and water conservation globally.
