CESC’s Subsidiary To Acquire a 100% Stake in Deshraj Solar Energy

Purvah Green Power Pvt. Ltd., a subsidiary of CESC Ltd., has entered into an agreement to acquire 100% of the share capital of Deshraj Solar Energy Pvt. Ltd. The acquisition, expected to be completed within two days, will make Deshraj Solar Energy a step-down subsidiary of CESC. This aligns with CESC’s strategy to expand its presence in the renewable energy sector.

300 MW Solar Power Project Acquisition

Deshraj Solar Energy is involved in developing a 300 MW solar photovoltaic power plant in India. This acquisition will contribute to CESC’s renewable energy portfolio, boosting its solar power capacity. The addition of a large-scale solar project shows CESC’s focus on increasing its share of clean energy in its overall power generation mix.

JSK Renewable Energy Pvt. Ltd.

Along with this acquisition, Purvah Green Power isn’t stopping there. They’ve also launched a new subsidiary, JSK Renewable Energy Pvt. Ltd. It’s designed to chase even more opportunities in the renewable sector. With a modest starting capital of Rs.1,00,000, JSK Renewable is fully owned by Purvah Green, adding another layer to CESC’s growing renewable position.

Acquisition of Bhojraj Renewables Energy

Earlier in October, CESC had also announced the acquisition of Bhojraj Renewables Energy Pvt. Ltd. This transaction, valued at Rs.108.6 crore, is expected to take nine months to complete and is conditional upon the fulfillment of certain project-related milestones. Bhojraj Renewables is developing a 150 MW solar project and a 300 MW wind project, further diversifying CESC’s renewable assets.

CESC’s Stock Performance

CESC’s stock has seen growth, with a 41.49% increase on a year-to-date basis and a 113% rise over the past 12 months. The stock opened at Rs.190 per share today, up around 2%. 

Conclusion: CESC’s acquisition of Deshraj Solar Energy Pvt. Ltd. adds a 300 MW solar project to its portfolio, strengthening its position in the market. Along with its 150 MW solar and 300 MW wind projects via Bhojraj Renewables, CESC is diversifying its energy mix. With a stock increase of 41.49% YTD and 113% over the past 12 months, CESC’s strategy seems to align with growing renewable energy demand and industry trends.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.