Hitachi Energy India Limited is seeking shareholder approval for material related-party transactions (RPTs) aggregating up to ₹6,000 crore with three group entities for FY27. The postal ballot notice covers transactions with Hitachi Energy Sweden AB, Hitachi Energy USA Inc, and Hitachi Energy Ltd., Switzerland.

Remote e-voting begins on September 13, 2026, at 9:00 am and closes on October 12, 2026, at 5:00 pm. The cut-off date for determining eligible members is September 4, 2026. Results will be declared on October 14, 2026.

Transaction Details

The company seeks omnibus approval for transactions expected to exceed the materiality threshold of ₹814.77 crore, which represents 10% of its annual consolidated turnover based on the last audited financial statements.

Strategic Rationale

The proposed limits support the company’s project execution and export growth strategy. Transactions with HE Sweden are critical for procuring specialized components for high-voltage, grid automation, and HVDC projects. HE USA arrangements facilitate exports of India-manufactured products under Feeder Factory agreements, enhancing capacity utilization.

Transactions with the holding company, HE Switzerland, provide access to proprietary technologies, intellectual property, and global R&D capabilities. These include royalty payments for technology use and management fees for centralized services.

What the Numbers Show

The proposed transaction ceiling of ₹6,000 crore reflects a significant increase over previous actuals. Total transactions with these three entities in FY26 were approximately ₹2,106 crore (₹894.66 crore with HE Sweden, ₹592.96 crore with HE USA, and ₹618.66 crore with HE Switzerland). The nearly tripled limit underscores anticipated growth in order execution and export volumes for FY27.

Governance and Compliance

The Audit Committee and Board of Directors approved the transactions on August 28, 2026. An independent report from M/s. Deloitte Touche Tohmatsu India LLP confirms that the transactions are conducted at arm's length and in the ordinary course of business. Related parties, as defined under SEBI Listing Regulations, will not vote on these resolutions.

Hitachi Energy India Limited board approved a postal ballot to seek shareholder consent for material related party transactions with its global affiliates.

The Board of Directors held its meeting on August 28, 2026, to consider and approve the issuance of the Postal Ballot Notice. The transactions involve Hitachi Energy Sweden AB, Hitachi Energy USA Inc, and Hitachi Energy Ltd., Switzerland.

Regulatory Compliance

The company stated that the approval is subject to the shareholders' acceptance via the postal ballot process. This action is taken pursuant to the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The notice for the Postal Ballot, along with other required information under the Companies Act, 2013 and SEBI Listing Regulations, will be published in due course.

Meeting Details

The board meeting commenced at 2:54 pm and concluded at 6:54 pm. Poovanna Ammatanda, General Counsel and Company Secretary, signed the disclosure.