South India Paper Mills Limited will acquire a 26% stake in Clean Wind Power (Manvi) Pvt Ltd for ₹14,00,000 to secure 11.6 million units of wind power annually for its industrial operations. The company entered into a Share Subscription cum Shareholder's Agreement (SSSHA) with Clean Wind Power (Manvi) Pvt Ltd and Hero Rooftop Energy Pvt Ltd to subscribe for 1,40,000 equity shares at a face value of ₹10 each. Additionally, a Power Supply and Consumption Agreement (PSCA) was signed to facilitate the supply under a Group Captive Structure.

The investment is not a related party transaction, as Clean Wind Power (Manvi) Pvt Ltd is a Special Purpose Vehicle promoted by Hero Rooftop Energy Pvt Ltd, which holds no relation to the promoter or promoter group of South India Paper Mills. The acquisition targets the renewable energy power generation sector to meet the energy requirements of the company's facilities located at Chikkayanachatra, Nanjangud, Thandavapura, and a river pump house.

Financials of the Target Entity

Clean Wind Power (Manvi) Pvt Ltd, incorporated on July 14, 2014, operates as an Independent Power Producer in Karnataka. The target entity has reported a decline in revenue from operations over the last three years.

Transaction Details

The transaction involves a cash consideration of ₹14,00,000 for the acquisition of 1,40,000 equity shares. The indicative timeline sets the completion of the acquisition within July 2026, with the start of power supply tentatively scheduled for August 1, 2026. No specific governmental or regulatory approvals are required for this acquisition.

South India Paper Mills Limited has notified stock exchanges of an upcoming Board of Directors meeting, scheduled for Thursday, May 28, 2026. The intimation, dated May 18, 2026, was issued pursuant to Regulation 29 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and was signed by Company Secretary Vidya Bhat.

Board Meeting Details

The board meeting has been convened to consider and approve the audited financial results of the company for the financial year ended March 31, 2026. The key details of the scheduled meeting are outlined below:

About the Company

South India Paper Mills Limited is a Karnataka-based company with its registered office and factory located at Chikkayana Chatra, Nanjangud – 571 302, Karnataka. The company also maintains a corporate and marketing office at Prestige Meridian II, M.G. Road, Bangalore – 560 001. The company holds CIN L85110KA1959PLC001352.