Grasim Industries Acquires 26% Stake in Renewable Energy SPVs
Filing Summary
Grasim Industries Limited has approved the acquisition of a 26% equity stake in three Special Purpose Vehicles (SPVs) for renewable energy projects. The SPVs are associated with the company’s plants in Gujarat, Andhra Pradesh, and Odisha. The total investment is up to Rs. 69.10 crore, with cash consideration for each SPV. The acquisitions are intended to meet green energy needs and comply with regulatory requirements. No governmental approvals are required, and the transactions are expected to complete within 30 days of agreement execution.
Grasim Industries Limited has announced the approval of acquiring a 26% equity stake in three Special Purpose Vehicles (SPVs) dedicated to renewable energy projects. These SPVs are linked to Grasim’s plants located in Gujarat, Andhra Pradesh, and Odisha. The decision was made during the Board of Directors meeting on 5th November 2025. The acquisition aims to facilitate the company’s green energy requirements and ensure compliance with regulatory mandates for captive power consumption.
The financial terms of the acquisition involve a total investment of up to Rs. 69.10 crore. The investment will be made in cash consideration across the three SPVs. For the Vilayat Plant in Gujarat, the SPV formed with Prozeal Green Energy Limited is named Pro-Zeal Green Power Eighteen Private Limited, with an equity investment of up to Rs. 45.00 crore. The Balabhadrapuram Plant in Andhra Pradesh will have an SPV formed with Prozeal Green Energy Limited, involving an investment of up to Rs. 20.50 crore. The Ganjam Plant in Odisha will see an SPV formed with GMR Energy Limited, with an investment of up to Rs. 3.60 crore.
Operationally, the SPVs are established to develop renewable energy facilities, specifically focusing on wind-solar hybrid power generation. The SPV for the Vilayat Plant is already incorporated and will have a capacity of approximately 50 MW. The SPVs for the Balabhadrapuram and Ganjam Plants are expected to be incorporated shortly, with similar objectives in renewable energy generation and transmission.
The timeline for completing these acquisitions is set within 30 days from the execution of the necessary Share Purchase and Shareholders Agreements. This timeline ensures a swift transition to operational readiness for the renewable energy projects associated with each SPV.
The parties involved in these transactions include Grasim Industries Limited, Prozeal Green Energy Limited, and GMR Energy Limited. Prozeal Green Energy Limited is involved in the SPVs for the Vilayat and Balabhadrapuram Plants, while GMR Energy Limited is associated with the Ganjam Plant. These entities are not related to Grasim Industries Limited, and the transactions are not classified as related party transactions.
In the context of market relevance, these acquisitions align with Grasim’s strategy to optimize energy costs and comply with electricity laws for captive power consumption. The focus on renewable energy projects reflects the company’s commitment to sustainable energy solutions and regulatory compliance.
Grasim Industries Limited is a flagship company of the Aditya Birla Group, engaged in diverse sectors including cement, textiles, and chemicals. The company prioritizes sustainable growth and innovation, with strategic investments in renewable energy to enhance its operational efficiency and environmental responsibility.