Kirloskar Oil Engines Limited has secured a 192 MW order from HyperNext for its Optiprime™ Dual Core power systems to support large-scale data center infrastructure. The order comprises 96 units of 2500 kVA systems, representing one of the largest deployments of high-capacity standby power systems for data centres in India. This partnership aims to bolster HyperNext's mission to build resilient, scalable, and energy-efficient digital infrastructure capable of meeting the demands of cloud computing, artificial intelligence, and mission-critical enterprise workloads.

Order at a Glance

The key details of the order are summarised below:

Optiprime™ Platform and Deployment

The Optiprime™ platform integrates multiple high-performance cores into a single system, delivering power density and operational efficiency. These Uptime certified DCCP (Data Centre Continuous Power) systems are designed specifically for hyperscale and mission-critical environments, allowing data centre operators to optimize footprint utilization while ensuring uninterrupted power availability. HyperNext is developing a data centre with an 800VDC power architecture, which it claims is the first of its kind in India.

Leadership Perspectives

Harsh Macwann, Group CEO of HyperNext, stated that the partnership reflects a shared commitment to enabling the next generation of digital infrastructure while maintaining high standards of operational resilience. Madan Patil, President – Global Powergen Business at Kirloskar Oil Engines, said the order reflects the confidence digital infrastructure leaders place in the company's engineering capabilities. He noted that the Optiprime™ platform addresses the challenges of AI and cloud adoption by delivering robust backup power systems for hyperscale data centres.

About Kirloskar Oil Engines

Kirloskar Oil Engines Limited specializes in internal combustion engines, gensets, and integrated power solutions. With a legacy of over 75 years, the company serves sectors including infrastructure, data centers, real estate, defense, marine, and railways through a distribution network across India, the Middle East, Africa, and the Americas.

Kirloskar Oil Engines received a show cause notice from the Deputy Commissioner of State Tax, Pune, demanding a total of ₹5.82 crore comprising tax, interest, and penalty regarding an Input Tax Credit (ITC) mismatch for FY 2022-23. The company stated on June 1, 2026, that it does not anticipate any material impact on its financial or operational activities as a result of this demand.

The notice, dated June 1, 2026, was issued under Section 73 of the Maharashtra Goods and Services Tax Act, 2017 and the Central Goods and Services Tax Act, 2017. It specifically addresses alleged discrepancies in the ITC claimed during the financial year 2022-23.

Breakdown of Demand

The order details the specific financial components of the demand imposed by the tax authority. The table below outlines the tax, interest, and penalty amounts specified in the notice.

Company Response

Kirloskar Oil Engines Limited has indicated that it is currently in the process of preparing and filing a necessary reply before the appropriate authority within the prescribed timelines. The disclosure was made to the stock exchanges pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The company confirmed that while it acknowledges the receipt of the notice, it maintains that the development will not have a material effect on its ongoing activities.