Shakti Pumps (India) Ltd has pumped in ₹10 crore into its wholly-owned subsidiary, Shakti Energy Solutions Ltd, for the setting up of a greenfield solar manufacturing unit at Pithampur in Madhya Pradesh. This manufacturing unit would be engaged in the manufacture of solar Domestic Content Requirement cells and solar photovoltaic modules, with an annual manufacturing capacity of 2.20 GW.
As per the exchange filing of the company, this investment had been made through subscription to equity shares in Shakti Energy Solutions. Since the subsidiary is fully owned by the company, this investment would not qualify as a related party transaction, as per the filing.
The planned manufacturing unit would bolster the ongoing solar operations of the subsidiary, including solar structure and product manufacturing for rooftop solar.
This plant would enable the company to expand its business line by adding solar DCR cells and PV module manufacturing facilities. No government or regulatory approvals are required for this deal.
