Quality Power Acquires 76% Stake in Veeral Controls Pvt Ltd
Filing Summary
Quality Power Electrical Equipments Ltd has executed agreements to acquire a 76% equity stake in Veeral Controls Pvt Ltd through its subsidiary, Quality Power Engineering Projects Pvt Ltd. The acquisition, valued at approximately INR 15 Crore, will make Veeral Controls a step-down subsidiary of Quality Power. Veeral Controls specializes in high current power electronics, with a turnover of Rs 4.19 Crore as of March 2025. This acquisition aligns with Quality Power’s strategic focus on expanding its technology base in power conversion systems.
Quality Power Electrical Equipments Ltd has announced the execution of a Share Subscription Agreement and a Shareholders Agreement for the acquisition of a 76% equity stake in Veeral Controls Pvt Ltd. The acquisition will be carried out by its subsidiary, Quality Power Engineering Projects Pvt Ltd. Following the acquisition, Veeral Controls will become a step-down subsidiary of Quality Power Electrical Equipments Ltd.
The acquisition involves a total equity infusion of approximately INR 15,20,00,000, which will be executed entirely through primary capital issuance. The transaction encompasses all assets, including land and factory costs. Veeral Controls reported a turnover of Rs 4.19 Crore as of March 31, 2025. The acquisition does not fall under related party transactions, and the promoter group of Quality Power has no existing interest in Veeral Controls.
Veeral Controls Pvt Ltd is engaged in the design, development, and manufacturing of power electronics components and systems. The company specializes in high current rectifiers and power conversion systems for industrial, rail, nuclear, and defense applications. It has a strong in-house engineering capability and proprietary control technologies. The acquisition aims to expand Quality Power’s technology base into high current power conversion, adding proprietary rectifier and power conversion technologies.
The timeline for the completion of the acquisition is governed by the terms outlined in the Share Subscription Agreement and Shareholders Agreement. No specific governmental or regulatory approvals are required for this acquisition, as stated in the filing.
The entities involved in this transaction include Quality Power Electrical Equipments Ltd, its subsidiary Quality Power Engineering Projects Pvt Ltd, and Veeral Controls Pvt Ltd. Quality Power Engineering Projects Pvt Ltd will acquire the majority stake, resulting in Veeral Controls becoming a step-down subsidiary of Quality Power.
Veeral Controls operates in the power electronics industry, focusing on high current rectifiers and power conversion systems. The acquisition aligns with Quality Power’s strategic focus on expanding its capabilities in high current rectification and process-level power conversion. These technologies complement Quality Power’s existing portfolio of high voltage grid equipment and power quality systems.
Quality Power Electrical Equipments Ltd is an Indian company specializing in high voltage electrical equipment and solutions for electrical grid connectivity and energy transition. The company provides power products and solutions across power generation, transmission, distribution, and automation sectors. Quality Power is among the few global manufacturers of critical high voltage equipment for High Voltage Direct Current (HVDC) and Flexible AC Transmission Systems (FACTS) networks.