Power & Instrumentation (Gujarat) Ltd [PIGL] has agreed to acquire an additional 35.82 per cent stake in Peaton Electrical Company Ltd (PECL).
In a stock exchange filing by PGIL, the company said that this strategic acquisition will bring PIGL’s total shareholding to 51.06 per cent, making PECL a subsidiary. Prior to this transaction, PIGL already held a 15.23 per cent stake in PECL.
PECL specializes in manufacturing electrical materials such as unitized substations, M.V. panels, LV panels, and bus trunking systems and compact substation. The company’s product portfolio also includes auto synchronising panels, APFCR panels, distribution boards, and MV panels up to 33kV.
PECL operates in the electrical equipment manufacturing industry, with a focus on LT panels, bus trunking systems, compact substations, and other electrical materials. PECL has supplied products to major public sector undertakings, government and semi-government entities, and corporate clients for four decades. The company recorded a sales turnover of Rs.36.04 crore in FY25.
Rationale for acquisition
PIGL and PECL will collaborate on product development, new technologies, and a preferred relationship for supplies of LT panels, bus trunking systems, and compact substations. PECL will invest to expand manufacturing capacity to meet the growing requirements of PIGL The current promoters of PECL will continue to lead the company’s management and operations to ensure continuity and a smooth transition.
Future Outlook for PIGL
The full integration of Peaton Electrical Company Ltd as a subsidiary is a significant step for PIGL’s long-term growth strategy. This move is expected to strengthen PIGL’s product portfolio and enhance operational synergies through a reliable supply chain. By securing a majority stake, PIGL is positioning itself for accelerated growth, an expanded market presence, and increased profitability for its stakeholders.
Combining expertise
According to Padmaraj Padmnabhan Pillai, Managing Director of Power & Instrumentation (Gujarat) Ltd, “This acquisition marks a pivotal moment for PIGL. We are incredibly excited about the synergies this partnership will unlock, combining the extensive experience of both companies, PIGL’s market reach and strong client base with PECL’s decades of manufacturing excellence and innovation. Together, we aim to accelerate product development, adopt new technologies, and scale up manufacturing capacity to meet the growing demand across public, private, and government projects. By integrating PECL as a subsidiary, PIGL will be able to strengthen its product portfolio, build a more reliable supply chain, and capture larger opportunities in the electrical equipment sector. This move positions us for sustained growth, enhanced competitiveness, and greater value creation for all stakeholders.”
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