Source Natural Foods & Herbal Supplements Limited has moved into the renewable energy sector by approving the incorporation of a wholly owned subsidiary. The Board of Directors, in its meeting held on August 10, 2026, authorized the Managing Director to take all necessary steps for the formation of the new entity.

The proposed subsidiary, named SN Solar Mangaluru Private Limited (or such other name as approved by the Registrar of Companies), will be incorporated in India. The Managing Director approved proceeding with the incorporation on August 12, 2026. The company stated that the incorporation process, including name reservation and statutory filings with the Ministry of Corporate Affairs, is currently underway.

Strategic Focus

The new entity belongs to the green or renewable energy industry. Its primary line of business involves developing, implementing, owning, operating, and maintaining grid-connected Solar PV power projects. This marks a diversification from the parent company’s core business in natural foods and herbal supplements.

Transaction Details

The listed entity will hold 100% shareholding in the new subsidiary. The subscription of shares will be made via cash consideration at face value. No specific cost of subscription or indicative time period for completion was disclosed, other than noting that the process is subject to receipt of approvals from statutory and regulatory authorities.

The company issued the intimation under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Source Natural Foods and Herbal Supplements Limited has incorporated a wholly-owned subsidiary, Source Natural Estates Private Limited, on June 18, 2026, to expand its presence in the green or renewable energy sector. The new entity will focus on acquiring and developing land and immovable property to support Special Purpose Vehicles (SPVs) involved in solar and other renewable energy projects. This strategic move allows the parent company to facilitate the development of energy storage systems, electric vehicle charging infrastructure, and facilities for wastewater and solid waste management.

The incorporation was disclosed to BSE Limited pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Source Natural Estates Private Limited is classified as a related party transaction since it is a wholly-owned subsidiary. The company confirmed that, aside from this ownership, the promoter or promoter group has no other interest in the new entity. The subsidiary has not yet commenced business operations.

Financial details of the newly incorporated entity reveal an authorized capital of Rs. 10,00,000, divided into 1,00,000 equity shares of Rs. 10 each. The paid-up capital stands at Rs.1,00,000, divided into 10,000 equity shares of Rs. 10 each. Source Natural Foods and Herbal Supplements Limited, along with its nominee shareholders, has subscribed to 100% of the equity shares, amounting to a total cash consideration of Rs.1,00,000.

Key Details of the Subsidiary

The primary object of the acquisition is to acquire land and property rights to develop, manage, and lease assets for SPVs. These SPVs will utilize the infrastructure for setting up and operating solar projects, green energy infrastructure, and agri-waste processing facilities. No specific governmental or regulatory approvals were required for this incorporation, and the transaction was conducted at arm's length.