Thermax Limited , a prominent engineering solutions provider, has announced a significant change in its corporate structure. The company's step-down subsidiary, Fortmax Chemicals India Private Limited (FCIPL), has undergone an ownership restructuring, ceasing to be a wholly owned entity of Thermax.

Key Details of the Restructuring

• Share Allotment: FCIPL's Board of Directors approved the allotment of 44,10,000 equity shares to Oswaldo Cruz Química Indústria e Comércio Ltda., Brazil (OCQ).
• Share Specifics: The allotted shares have a face value of Rs. 10 each and were issued at par.
• Ownership Change: This allotment represents 49% of FCIPL's equity share capital.

New Shareholding Structure

Following the restructuring, the revised shareholding pattern of FCIPL is as follows:

Impact and Implications

• Subsidiary Status: As a result of this transaction, FCIPL is no longer a wholly owned step-down subsidiary of Thermax Limited.
• Strategic Partnership: The move suggests a potential strategic alliance with the Brazilian company, OCQ, in the chemical sector.
• No Promoter Benefit: Thermax Limited has explicitly stated that there are no benefits to the promoter, promoter group, or group companies from this restructuring.

Regulatory Compliance

Thermax Limited has duly informed the stock exchanges about this development, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

This restructuring marks a significant change in Thermax's subsidiary ownership structure and could potentially influence the company's operations in the chemical solutions segment. Investors and market watchers will likely keep a close eye on how this partnership develops and its impact on Thermax's overall business strategy.

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.