Thermax Limited , a leading energy and environment solutions provider, has made a significant move in bolstering its renewable energy portfolio. The company has infused ₹115 crore into its step-down subsidiary, First Energy 10 Private Limited (FE10), through its wholly-owned subsidiary First Energy Private Limited (FEPL).

Investment Details

The investment, completed on September 9, represents Thermax's strategic capital allocation towards expanding its renewable energy operations. According to the company's filing with the stock exchanges, the funds will be utilized for new projects proposed to be undertaken by FE10.

Subsidiary Overview

First Energy Private Limited (FEPL), the immediate recipient of the investment, is engaged in the renewable energy sector. The company is positioned to assist customers in their journey towards green energy, offering sustainable solutions including solar, wind, wind-solar hybrid, and storage batteries in the commercial and industrial segment.

First Energy 10 Private Limited (FE10), incorporated on March 23, is a Special Purpose Vehicle (SPV) wholly owned by FEPL. It was established specifically for undertaking renewable energy projects.

Financial Implications

The investment has led to changes in the capital structure of both subsidiaries:

Recent Performance

FEPL has shown significant growth in its turnover over the past three years:

FE10, being a newly incorporated entity, has not reported any turnover as of March 31.

Strategic Implications

This substantial investment underscores Thermax's commitment to expanding its footprint in the renewable energy sector. By strengthening its subsidiaries, the company is positioning itself to capitalize on the growing demand for sustainable energy solutions in the commercial and industrial segments.

The move aligns with the global shift towards cleaner energy sources and may enhance Thermax's competitive edge in the evolving energy landscape. As the renewable energy sector continues to gain traction, this strategic investment could potentially drive future growth and sustainability initiatives for Thermax Limited.

Investors and industry observers will likely be watching closely to see how this investment translates into new projects and potential revenue streams for Thermax in the coming years.

Thermax Limited , a leading energy and environment solutions provider, has announced optimistic projections for its second quarter performance, signaling strong growth across its business segments.

Chemical Business Margin Growth

Company officials have projected a margin growth of 12-13% for Thermax's chemicals business in Q2. This forecast suggests a robust performance in the company's chemical segment, which could contribute significantly to overall profitability.

Double-Digit Growth Across Segments

The management's expectations extend beyond the chemicals business, with double-digit growth anticipated across all business segments during this period. This broad-based growth outlook indicates a positive trend across Thermax's diverse portfolio of products and services.

Management's Confidence

The projections reflect the management's confidence in Thermax's business strategy and market positioning. While specific factors driving this growth were not detailed, the company's focus on energy transition and sustainability solutions may be contributing to its positive outlook.

Recent Corporate Developments

In addition to the growth projections, Thermax has recently made several significant corporate announcements:

• Reappointment of Managing Director and CEO: The shareholders have approved the reappointment of Mr. Ashish Bhandari as the Managing Director and CEO for a five-year term from September 1, 2025, to August 31, 2030. This decision ensures continuity in leadership during a period of anticipated growth.

• New Auditor Appointments: The company has appointed M/s. Price Waterhouse Chartered Accountants LLP as the Statutory Auditors for a five-year term. Additionally, M/s. Makarand M. Joshi & Co. has been appointed as the Secretarial Auditors for five years starting from FY 2025-26.

• Dividend Declaration: Thermax has declared a dividend of Rs. 14.00 (700%) per equity share of face value Rs. 2.00 for the financial year ended March 31, 2025, subject to shareholder approval.

These corporate actions, coupled with the positive growth outlook, suggest that Thermax is positioning itself for sustained performance and governance enhancements in the coming years.

As Thermax continues to navigate the evolving energy and environmental solutions landscape, investors and industry observers will be keenly watching to see if the company can deliver on its projected growth targets in the upcoming quarter.