Siemens Ltd, in a stock exchange filing, said that it has planned to procure solar power for its manufacturing facility located at Kalwa in Maharashtra.
To this effect, Siemens, on October 22, 2021, entered into a share subscription and shareholders agreement for the subscription of 26 per cent of the paid-up equity share capital of Sunsole Renewables Private Limited, Mumbai, India, subject to fulfillment of conditions precedent as agreed between the parties.
The stock exchange filing observed that the company desired to procure renewable energy to reduce its carbon footprint for its manufacturing facility at Kalwa in Maharashtra. “Pursuant to statutory requirements, in order to avail such power/electricity for captive usage, Siemens Ltd is required to subscribe to at least 26 per cent of the paid-up equity share capital of Sunsole.” Post-acquisition, Sunsole will be an associate of Siemens Ltd, the stock exchange filing added.
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The acquisition cost will be up to Rs.1.60 crore that would be paid in one or more tranches. Siemens added that the proposed acquisition is proposed to be completed by September 2022 and is subject to fulfillment of conditions precedent as agreed between the parties.
Sunsole was incorporated on February 4, 2020, as a special purpose vehicle by Cleantech India OA Pte Ltd to undertake the construction, operation and maintenance of a solar power plant and to supply, on a captive basis, the power generated from the solar power plant. Sunsole currently does not have any operations, the stock exchange filing said.
Featured photograph shows Siemens’ manufacturing facility at Kalwa in Maharashtra. (Photo: Siemens)
