KPI Green Energy Ltd completes acquisition of KPark

KPI Green Energy Limited has completed the acquisition of 99.90% stake in KPark. The Company has also completed the acquisition of remaining 0.10% stake in KPark on December 16, 2023. Accordingly, KPark has become Wholly Owned Subsidiary of the Company.

KPark Sunbeat Private Limited (“KPark”) is a company limited by shares incorporated on September 11, 2019, and having its registered office at 'KP House', Opp. Ishwar Farm Junction BRTS, Near Bliss IVF Circle, Canal Road, Bhatar, Surat – 395017, Gujarat, India.

The Target Company is engaged in the business of development of solar power projects. The Target Company proposes to set up a 70 MW solar park at Dhrangadhra, Surendranagar, Gujarat and a 30 MW solar park at Kantvav, Surat, Gujarat, aggregating to 100 MW of solar power projects on Independent Power Producer (‘IPP’) model. The Target Company also owns 2,11,367 sq mtrs. of land at Surendranagar, Gujarat on freehold basis for development for solar power projects. The Target Company has also secured necessary approvals from Gujarat Energy Transmission Corporation Limited (‘GETCO’) to evacuate the power generated at the respective solar power plant to the nearest 66KV / 220KV sub-station. The Target Company has already entered into long term power purchase agreement for sale of 30MW of solar power proposed to be generated from solar park located at Kantvav, Surat, Gujarat. Further, the Target Company has also received interest from certain customers for sale of 70MW solar power proposed to be generated from solar park located at Dhrangadhra, Surendranagar, Gujarat. The Target Company believes that it would be able to enter long-term power purchase agreements in due course. However, the commercial operation of solar power plant has not yet commenced and hence, no material revenue has been realized by the Target Company in the last three financial years.

The object of acquisition of the share of the KPark is to consolidate solar power projects of the KP Group under single entity i.e., KPI Green Energy Limited in order to achieve benefits of scale. This will enable the Company to dynamically allocate the resources in the best possible ways and achieve the ambitious target to touch combined renewable energy capacity of 1,000 MW by 2025. The acquisition of the above KPark is an enabler for efficient reorganization of renewable energy businesses which may be pursued in future.

Consideration of ₹ 12,62,054.30 (Rupees Twelve Lakh Six Two Thousand Fifty-Four Hundred and Paisa Thirty) paid as Purchase Consideration for acquiring 0.10% shareholding in KPark. The price at which the shares are acquired is Rs. 1,26,205.43/- per share of KPark.

Shares of K.P.I. Green Energy Ltd was last trading in BSE at Rs. 1321.20 as compared to the previous close of Rs. 1327.00. The total number of shares traded during the day was 31645 in over 3546 trades.

The stock hit an intraday high of Rs. 1375.00 and intraday low of 1305.05. The net turnover during the day was Rs. 42314433.00.

Source : Equity Bulls

Keywords

KPIGreenEnergy INE542W01017 Acquisition KPark