Date: September 28, 2026
Disinvestment / Strategic Actions
GScale Energy Private Limited (CIN: U28199TS2026PTC216284) became a subsidiary of Standard Engineering Technology Limited effective September 28, 2026, within the meaning of Section 2(87)(i) of the Companies Act, 2013 read with Regulation 2(1)(zm) of the SEBI Listing Regulations.
The Company presently holds 50,495 equity shares of GScale, representing 33.55% of its paid-up equity share capital, as previously disclosed in the intimation dated July 30, 2026. There is no change in the Company's shareholding in GScale on account of this subsidiary status change.
The subsidiary status was achieved by virtue of the Company controlling the composition of the Board of Directors of GScale, with the Company's representatives having been appointed to the GScale Board pursuant to the terms of definitive agreements and the Articles of Association of GScale.
Details of Acquired Entity
Name: M/s. GScale Energy Private Limited (CIN: U28199TS2026PTC216284)
Incorporation Date: May 15, 2026
Financial Information:
- Authorised Share Capital: ₹35,00,000/-
- Paid up Share Capital: ₹16,20,220/-
- Turnover: Not Applicable for FY 2023-24, 2024-25, and 2025-26 (as GScale was incorporated on May 15, 2026; its first financial year is FY 2026-27)
Business Description: Integrated engineering platform in the AI Datacenter Engineering Infrastructure Products and Solutions sector. Country of presence: India.
Leadership: Led by Mr. Kasu Brahma Reddy as its Managing Director.
Track Record: 486 MW delivered, 1GW+ under execution, with hyperscaler relationships and ready-to-market LOIs.
Acquisition Details
Cost of Acquisition: Approximately ₹190 Crores
Percentage of Control: Controls the composition of the Board of Directors of GScale with effect from September 28, 2026
Previous Status: GScale became an Associate Company of the Company with effect from July 30, 2026 following the acquisition of 33.55% stake
Strategic Rationale
The acquisition provides immediate access to GScale's domain expertise, proven track record, hyperscaler relationships, and ready-to-market LOIs, accelerating SETL's entry into the AI datacenter market.
Market Opportunity: $5.2–6.7 trillion in global AI datacenter capex by 2030, including $40–50 billion in India.
Impact: Creates a two-platform engineering company, with SETL serving Pharma & Chemical sectors and GScale serving AI Datacenter Infrastructure, while core business commitments to existing customers of the Company remain unchanged.
Not Specified Sections
KMP / Board / Auditor Changes: Not specified
Dividend Declaration or Non-Declaration: Not specified
Board Meeting Outcomes: Not specified
Financial Results: Not specified
Auditor's Report: Not specified
Media Release / Investor Communication: Not specified