CG Power Industrial Solutions Ltd shares gained 2% on Wednesday, March 12, after the company announced receiving regulatory approval from the Committee on Foreign Investment in the United States (CFIUS) for its acquisition of the Radio Frequency (RF) components business from Renesas Electronics America Inc. and its affiliate entities under Renesas Electronics Corporation.The approval, received on March 11, 2025, follows the execution of a Definitive Agreement, including an Asset Purchase Agreement, between the company and Renesas, CG Power Industrial Solutions said in filing to the stock exchanges.
This acquisition, initially announced on October 5, 2024, is aimed at enhancing the company’s position in the RF components market.
The transaction will be carried out through one or more subsidiaries to be incorporated by the company. However, the acquisition was contingent upon the completion of certain conditions, including obtaining necessary regulatory and statutory approvals, of which the CFIUS clearance was a key milestone.
The approval is an essential part of the process, as it ensures compliance with US national security concerns related to foreign investments in critical sectors such as RF technology, the company informed the stock exchanges.On Tuesday, CG Power and Industrial Solutions notified the exchanges that its board will discuss the declaration of an interim dividend for the financial year 2024-25 during its meeting on March 18. The record date for determining the shareholders eligible for the dividend has not yet been set.
This acquisition, initially announced on October 5, 2024, is aimed at enhancing the company’s position in the RF components market.
The transaction will be carried out through one or more subsidiaries to be incorporated by the company. However, the acquisition was contingent upon the completion of certain conditions, including obtaining necessary regulatory and statutory approvals, of which the CFIUS clearance was a key milestone.
The approval is an essential part of the process, as it ensures compliance with US national security concerns related to foreign investments in critical sectors such as RF technology, the company informed the stock exchanges.On Tuesday, CG Power and Industrial Solutions notified the exchanges that its board will discuss the declaration of an interim dividend for the financial year 2024-25 during its meeting on March 18. The record date for determining the shareholders eligible for the dividend has not yet been set.
The Mumbai-based company on Tuesday said it received a major order from Kinet Railway Solutions Ltd for the supply and servicing of railway products. This includes propulsion kits with motors, transformers, and other components required for the production of 10 Vande Bharat trainsets.
The initial purchase order for these railway products is valued between ₹400 crore and ₹450 crore. Additionally, CG entered into a separate 35-year service agreement as part of the long-term supply contract.
Shares of CG Power and Industrial Solutions Ltd gained 2.09% to hit an intraday high of ₹619.7 apiece on the BSE in morning trade. However, the stock pared some of its early gains to trade 1.38% lower at ₹599.15 apiece on the BSE at 11:53 am.
