Mahindra CIE Automotive has decided to buy a 26 percent share in Strongsun Solar to obtain power from two captive solar power plants. These projects are being set up in Maharashtra. The acquisition is expected to cost around Rs 33.5 million. The investment is being planned mainly to qualify as a captive consumer. To qualify as a captive consumer, Mahindra CIE Automotive must own at least 26 percent of the entire equity capital of the solar power plants. The investment will be divided into two installments. The acquisition is projected to close in nine months.
Strongsun Solar was established by CSE Development (Cleantech Solar) as a special purpose entity. After this investment, it will become an affiliate business of Mahindra CIE Automotive. Strongsun Solar will build two captive power projects with capacities of 7 MW and 3 MW, respectively. It will also deliver solar power from these projects to Mahindra’s foundry division in Urse and magnetic products division in Bhosari, both in Maharashtra.
Recently in July 2022, Syngene International agreed to buy a 26 percent share in Ampyr Renewable Energy Resources Eleven Private Limited, a special purpose vehicle of Ampyr India Asset Holdings to purchase power from a 50 MW open access solar project in Koppal district, Karnataka.
