Silgo Retail Limited's subsidiaries, Terraverde Renewables Private Limited and Bluesky Renewables Private Limited, have secured Power Purchase Agreements (PPAs) with Maharashtra State Electricity Distribution Company Limited (MSEDCL) for an aggregate contracted capacity of 37 MW (AC). The projects, located across Chandrapur, Gadchiroli, Akola, and Amravati, involve a total investment consideration where Silgo Retail acquired a 49% stake in both target entities on June 17, 2026. This move strengthens the company's presence in the renewable energy sector and aligns with its strategy to create long-term value through sustainable energy initiatives.

The PPAs, executed on April 16, 2025, stipulate a fixed tariff of ₹3.09 per kWh for a period of 25 years. The power generated will be supplied to MSEDCL to meet its renewable energy procurement requirements. Additionally, the projects are eligible for a subsidy support of approximately ₹90.60 lakh per MW (AC), aggregating to approximately ₹33.52 crore, which is expected to enhance the long-term viability and returns of the projects.

Transaction and Target Details

Silgo Retail's Board of Directors approved the acquisition of 4,90,000 equity shares in each target company at a cost of ₹10.00 per share. Both Terraverde Renewables and Bluesky Renewables were incorporated in February 2025. The company has been granted a call option to acquire the balance 51% equity stake in both companies upon the expiry of a lock-in period, which is the date immediately following one year from the Commercial Operation Date (COD) of the projects.

Financials of Target Entities

Both target companies reported no income from operations for the financial year 2025-26 and posted a net loss during this period.

The acquisitions are not classified as related party transactions, and no specific governmental or regulatory approvals are required for the completion. The company expects the acquisition of the initial 49% stakes to be completed within the next 30 days.

silgo retail reported a 27.2% increase in consolidated net profit to ₹569.72 lakh for the financial year ended March 31, 2026, compared to ₹447.77 lakh in the previous year. Revenue from operations for FY26 rose to ₹4,708.64 lakh from ₹4,439.54 lakh in FY25. The company’s Board of Directors approved the audited standalone and consolidated financial results at a meeting held on May 29, 2026.

For the quarter ended March 31, 2026, the company recorded a consolidated net profit of ₹189.73 lakh, an increase from ₹173.59 lakh in the same period last year. Revenue from operations for the quarter stood at ₹1,341.09 lakh, lower than ₹1,654.57 lakh in the corresponding quarter of the previous year. Total income for the quarter was ₹1,341.09 lakh.

Financial Performance

The company’s profit before tax for FY26 stood at ₹805.20 lakh, up from ₹606.64 lakh in the prior year. Finance costs for the year rose significantly to ₹79.32 lakh compared to ₹17.50 lakh in FY25. Earnings per share (basic) for the year increased to ₹2.37 from ₹2.36 in the previous year.

Capital Structure and Fundraising

During the quarter, Silgo Retail allotted 73,81,359 partly paid-up equity shares of face value ₹10 each at an issue price of ₹60 per share on a rights basis. The allotment was made in the ratio of 3 rights equity shares for every 10 fully paid-up equity shares held on February 13, 2026. The aggregate issue size amounted to ₹44.29 crore, with the company receiving ₹22.14 crore as application money. The balance amount of ₹30 per share is receivable on subsequent calls as determined by the Board.

Auditor’s Opinion

The results are presented in accordance with the requirements of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The auditor noted that the company does not have any reportable segments as per the quantitative thresholds prescribed under Ind AS 108.