Mahindra & Mahindra Acquires 26% Stake in Gelos Solren Pvt Ltd

Mahindra & Mahindra Ltd has completed the execution of a Share Subscription and Shareholders Agreement to acquire a 26% stake in Gelos Solren Private Limited. Gelos is a wholly-owned subsidiary of Mahindra Susten Private Limited, which is under Mahindra Holdings Limited, a subsidiary of Mahindra & Mahindra. The agreement was finalized on November 28, 2025, and involves the subscription to equity shares in one or more tranches. This acquisition is part of a strategic move to establish a Group Captive Hybrid Power Plant in Maharashtra, India.

The financial terms of the acquisition involve Mahindra & Mahindra subscribing to 10,53,877 equity shares of Gelos at a price of Rs. 352 per share, which includes a premium of Rs. 342. The total investment amounts to Rs. 371 crore. Prior to this transaction, Mahindra & Mahindra did not hold any shares in Gelos. Post-acquisition, Mahindra Susten Private Limited’s shareholding in Gelos will be diluted from 100% to 74%, while Mahindra & Mahindra will hold 26% of the post-issue share capital.

Operationally, Gelos is engaged in producing and distributing electricity through renewable energy sources. The company is in the process of setting up a Hybrid Power Plant with a contracted capacity of up to 100.8 Mega Watts, combining wind and solar energy. This facility will supply power to Mahindra & Mahindra and other companies on a captive basis. The investment ensures compliance with the Electricity Rules 2005, which mandate that captive users hold at least 26% of the share capital in the generating entity.

The timeline for the completion of this acquisition is set for April 30, 2026. The transaction will proceed in multiple tranches, with the final allotment of shares expected to be completed by this date. The proceeds from the share subscription will be utilized by Gelos for capital expenditure, future business operations, working capital requirements, and other general corporate purposes.

The parties involved in this transaction include Mahindra & Mahindra Ltd, Gelos Solren Private Limited, and Mahindra Susten Private Limited. Mahindra & Mahindra is the ultimate holding company of Gelos, making this a related party transaction. The acquisition is conducted on an arm’s length basis, with no additional interest from the promoter group or other group companies, except through Mahindra Susten’s existing shareholding in Gelos.

In the context of the renewable energy market, this acquisition aligns with Mahindra & Mahindra’s strategic focus on sustainable energy solutions. Gelos, incorporated on June 14, 2023, has not yet generated revenue, as it is in the development phase of its power plant. The acquisition supports Mahindra & Mahindra’s compliance with regulatory requirements and enhances its capabilities in renewable energy production.

Mahindra & Mahindra Ltd is a leading Indian multinational corporation with a diverse portfolio spanning automotive, agribusiness, aerospace, and renewable energy. The company is committed to expanding its presence in sustainable energy solutions and enhancing its operational efficiencies across various sectors.