Target Entity
CGE II Hybrid Energy Private Limited
Type of Deal
Minority stake acquisition (investment)
Stake/Capacity
- Percentage Stake Acquired: 0.97% equity stake (post-allotment)
- Number of Shares Acquired: 47,60,101 Equity Shares of ₹10/- each
- Capacity Enhancement: 5 MW captive renewable power consumption for manufacturing plants
Deal Value
- Total Cost of Acquisition: ₹4,76,01,010 (₹4.76 crore)
- Payment Structure: Cash consideration paid through online banking
Funding Source
Not explicitly disclosed in the document
Financial Impact
- Target Entity Financials:
- Authorized Share Capital: ₹550 Crore
- Paid Up Share Capital: ₹492.42 Crore (Post-Allotment)
- Turnover (31st March 2026): ₹65.569 Crore
- Historical Turnover: NIL in 2023-24 and 2024-25
- Expected Impact: Enhanced captive renewable power consumption leading to potential cost optimization
Timeline
- Transaction Completion Date: 5th October, 2026
- The acquisition has been completed
Strategic Rationale
- To secure renewable energy under captive status for the Company's manufacturing units located in the State of Rajasthan
- Specifically for plants situated at Village Atun, Sareri, and Billiya Kalan, District Bhilwara, Rajasthan
- The Wind-Solar Hybrid Power Project qualifies as a captive consumption project under the applicable Electricity Act/Rules
- Objective to enhance captive renewable power consumption up to 5 MW
Approval Status
- Approved by the Investment and Borrowing Committee of the Board of Directors of Sangam (India) Limited
- No government or regulatory approvals required (Not Applicable as per filing)
Related Party Status
- The acquisition does not fall under related party transactions
- The promoter/promoter group/group companies have no interest in the target entity
Target Entity Background
- Industry: Renewable Power Generation
- Parent Company: Subsidiary of Continuum Green Energy Limited
- Date of Incorporation: December 2, 2021
- Business Purpose: Undertaking renewable power generation, distribution, transmission and supply in the State of Rajasthan
- Country of Presence: India
Reference Regulation
SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 - Regulation 30 read with Schedule III
SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024