Dalmia Bharat’s Subsidiary Plans To Acquire Amplus Kaveri Solar

panyDalmia Bharat’s subsidiary company, Dalmia Cement came under the agreement to acquire a stake in Amplus Kaveri Solar. Its subsidiary Dalmia Cement deals in the supply of cement. The company is going to come in a contract with the solar power company. The scope of solar is increasing day by day. Thus, it will be a good investment opportunity for the company. The Cement company will be forming SPPA (Solar Power Purchase Agreement) and SSSA ( Share Subscription and Shareholders Agreement) with the company.

Dalmia Bharat Cement Will Acquire Around 19% Stake In The Amplus Kaveri Solar

Dalmia Bharat’s subsidiary is looking to acquire a stake of around 19% in the company. It will be forming two agreements with Amplus Kaveri Solar. The company is among the leading companies that deal in solar power production. It is a low-carbon clean energy solution. Both the companies come under the share subscription and shareholders agreement (SSSA) in which Dalmia Bharat’s subsidiary buys 1,62,61,200 equity shares valuing a total of Rs. 16.26 Crores. On the other hand, they both also come under the solar power purchase agreement (SPPA) as per which,  Dalmia Bharat’s subsidiary acquires a 19.18% stake in the company.

Dalmia Bharat’s subsidiary will utilise solar resources up to 45.20 MW capacity in Maharashtra. Dalmia Bharat will be working on its mission to create a positive environmental impact. Promoting a renewable source of energy which is solar energy, Dalmia and Amplus Kaveri Solar will contribute to India’s mission of achieving carbon negative in 2040. The government is also promoting such environment-friendly schemes. The agreement took place on 7 June 2024. However, it will complete the other formalities in 8-9 weeks.

The cement manufacturing company is making a good profit at the moment. Thus, it is looking to expand further. The company made a net profit of Rs. 320 Crores in Q4 FY 24. However, the profit for the quarter fell. The previous year Q4 recorded a profitability of Rs. 609 Crores. However, the company is working on the mistakes to perform better in the upcoming quarter.

The deal is expected to be a win-win situation for both. Solar energy will help the company reduce power utilisation expenses. While Kaveri Solar receives the desired funding from the market. Dalmia Bharat Ltd. is a listed company. Dalmia Bharat Ltd. has a share price of Rs. 1,809.95 per share. It is moving up with 2.48% today. Dalmia Bharat Ltd. opens today in the market at Rs. 1,766.10. While it closes at 1,807 at 3:30 p.m. today.