Thermax Limited has announced a significant change in its corporate structure, as First Energy 11 Private Limited (FE11PL) is no longer a wholly owned step-down subsidiary of the company. This development comes after FE11PL allotted 3,45,87,000 equity shares to Garden Silk Mills Private Limited, which is identified as a Captive User under the Electricity Act, 2003.

Corporate Structure Change

The change in ownership status of FE11PL was confirmed through an official intimation from Thermax Limited to the stock exchanges on October 28, 2025. This announcement follows previous intimations made by the company in July 2025, indicating that this corporate action was part of a planned process.

Details of the Transaction

Implications and Context

While the specific reasons for this share allotment have not been detailed in the announcement, it's worth noting that such changes in subsidiary ownership can be part of strategic business decisions. The involvement of a Captive User, as defined under the Electricity Act, 2003, suggests that this move may be related to energy supply arrangements or partnerships in the power sector.

Upcoming Financial Results

In a separate but related update, Thermax Limited has also announced that its Board of Directors is scheduled to meet on Tuesday, November 11, 2025. The meeting agenda includes the consideration and approval of the un-audited financial results for the quarter and half-year ended September 30, 2025, along with related segment-wise financial results.

Investors and stakeholders should note that the trading window for Thermax Limited shares, which is currently closed, will reopen 48 hours after the declaration of these financial results.

As these developments unfold, market participants will likely be keen to understand the strategic implications of the change in FE11PL's ownership structure and its potential impact on Thermax Limited's operations and financial performance in the coming quarters.

Thermax Limited , a leading energy and environment solutions provider, has announced significant corporate actions aimed at streamlining operations and bolstering its group companies. The company's board, in a meeting held on October 17, 2025, approved three major decisions that could reshape its corporate structure and strengthen its market position.

Merger with Buildtech Products India Private Limited

The board has given the green light to a scheme of merger by absorption of its wholly-owned subsidiary, Buildtech Products India Private Limited (Buildtech), with Thermax Limited. This merger, subject to necessary approvals including that of the National Company Law Tribunal (NCLT), is set with an appointed date of April 1, 2025.

Buildtech, which was acquired by Thermax in October 2024, specializes in manufacturing and trading construction materials and chemicals. As of March 31, 2025, Buildtech reported:

The merger is expected to bring several benefits, including:

• Consolidation of business operations
• Enhanced synergies and efficiency
• Simplification of group structure
• Reduction in regulatory compliances
• Cost savings in administrative and managerial expenses

As Buildtech is a wholly-owned subsidiary, no shares will be issued as consideration for the merger, and Buildtech's shares held by Thermax will be cancelled upon the scheme becoming effective.

Investment in Chemical Solutions Subsidiary

Thermax has approved an equity investment of Rs 40 crore in Thermax Chemical Solutions Private Limited (TCSPL), its wholly-owned subsidiary. This investment is earmarked for further investment in Fortmax Chemicals India Private Limited (FCIPL), a subsidiary of TCSPL.

FCIPL, incorporated on April 11, 2025, is engaged in the manufacturing, trading, marketing, and selling of specialty chemicals and products. The investment aims to meet capital expenditure and operational expenses of FCIPL, potentially strengthening Thermax's position in the specialty chemicals sector.

Support for Bio CNG Business

The board has also approved support of up to Rs 42 crore, either as equity or loan, to Enernxt Private Limited, a wholly-owned step-down subsidiary of Thermax. This support will be provided through Thermax Onsite Energy Solutions Limited (TOESL), a wholly-owned subsidiary of Thermax.

TOESL, which supplies steam and heat through biomass boilers, has shown significant growth over the past three years:

Enernxt, incorporated on January 5, 2021, is involved in the supply of Bio CNG Gas. The investment is intended to support its capital expenditure and operational expenses, potentially boosting Thermax's footprint in the renewable energy sector.

These strategic moves by Thermax Limited underscore the company's focus on consolidating its operations, enhancing its chemical solutions business, and expanding its presence in the renewable energy sector. As these decisions unfold, stakeholders will be watching closely to see how they impact Thermax's market position and financial performance in the coming years.