Thermax invests ₹115 crore in renewable energy arm First Energy for expansion projects

Thermax Limited on Tuesday (September 9) announced that it has infused ₹115 crore in its wholly-owned subsidiary, First Energy Private Limited (FEPL), to support further investment in its step-down wholly owned subsidiary, First Energy 10 Private Limited (FE10). The allotment of equity shares in both FEPL and FE10 was completed on the same day.FEPL is engaged in renewable energy and assists customers in their transition towards green energy by offering sustainable solutions such as solar, wind, wind-solar hybrid, and storage batteries for the commercial and industrial segments. As of March 31, 2025, FEPL reported a turnover of ₹4,911.27 lakh, while FE10, incorporated on March 23, 2024, has not reported any turnover.

Following the equity infusion, the paid-up equity share capital of FEPL stands at ₹6,46,31,63,650, and that of FE10 at ₹1,35,00,00,000. The company clarified that both FEPL and FE10 are related parties, but the promoter, promoter group, or group companies have no interest in the entities. The transaction has been conducted on an arm’s length basis.

Also Read: Thermax targets double-digit revenue growth in FY26The investment is aimed at supporting new renewable energy projects that will be undertaken by FE10, with no requirement for any governmental or regulatory approvals. The transaction was completed in cash consideration, with Thermax acquiring 11,50,00,000 equity shares of ₹10 each in FEPL, and FEPL acquiring the same number of equity shares in FE10. There is no change in the percentage of shareholding or control.

FEPL was incorporated on November 5, 2008, and has seen growth in its turnover over the last three years from ₹1,551.30 lakh in FY23 to ₹4,911.27 lakh in FY25. FE10 is a newly-incorporated special purpose vehicle dedicated to renewable energy projects.

Shares of Thermax Limited ended at ₹3,306.25, down by ₹15.10 or 0.45%, on the BSE today (September 9).

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