Dalmia Bharat Limited has announced that its wholly-owned subsidiary, Dalmia Cement (Bharat) Limited (DCBL), has entered into a Share Subscription and Shareholders Agreement (SSSHA) with Bijlee Kandasamy Private Limited on October 1, 2024.
This agreement allows DCBL to acquire a 25.38% stake in Bijlee Kandasamy Private Limited, which consists of 33,00,000 equity shares valued at ₹3.3 crore. The acquisition is aimed at sourcing solar power as a captive consumer for a capacity of up to 11 MW, located in Tamil Nadu. The transaction, subject to customary conditions, is expected to be completed within the next two months.
The acquisition is part of Dalmia Bharat’s strategy to increase its use of renewable energy to align with its sustainability goals. The renewable power sourced from this solar project will help the company meet its commitments under the RE100 initiative, which aims to transition companies to 100% renewable energy by 2030. Additionally, solar power will contribute to Dalmia Bharat’s larger goal of becoming carbon-negative by 2040. By investing in Bijlee Kandasamy, DCBL ensures that it qualifies as a captive consumer under the Electricity Act/Rules, further strengthening its renewable energy portfolio.
The acquisition is valued at ₹3.3 crore, representing DCBL’s equity investment in Bijlee Kandasamy Private Limited. This company, which was incorporated on August 16, 2023, is a Special Purpose Vehicle (SPV) established specifically to set up a solar power project in Tamil Nadu on a captive basis.
This move by Dalmia Bharat demonstrates its commitment to enhancing its renewable energy capabilities, ensuring long-term sustainability, and contributing toward India’s renewable energy goals. The acquisition of a stake in Bijlee Kandasamy Private Limited aligns with Dalmia Bharat’s ongoing efforts to reduce its carbon footprint and transition to cleaner energy sources.
About Dalmia Bharat Limited
Dalmia Bharat is involved in the business of manufacturing and selling cement. The company was started in 1939 and is India’s 4th largest cement manufacturer by installed capacity.
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.
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