Thermax has unveiled ambitious expansion plans in the clean energy sector, announcing a strategic investment of over ₹100 crores in its hydrogen business segment alongside plans to scale up First Energy Private Limited (FEPL) to 1GW capacity with a suitable partner.

Hydrogen Business Investment

The company's substantial financial commitment of over ₹100 crores over the next few years underscores its dedication to expanding its footprint in the rapidly growing clean energy sector. This investment represents a major step forward as Thermax seeks to capitalize on emerging opportunities in the hydrogen economy.

FEPL Expansion Strategy

Thermax has announced plans to expand its First Energy Private Limited (FEPL) operations to achieve 1GW capacity. The company intends to bring a suitable partner on board to support this significant expansion initiative, demonstrating its commitment to scaling up renewable energy capabilities.

Strategic Market Positioning

These dual initiatives position Thermax to leverage the growing momentum in India's clean energy sector. The company's multi-pronged approach, combining hydrogen technology investments with renewable energy capacity expansion, demonstrates its confidence in the long-term potential of sustainable energy solutions and their role in the country's energy transition.

Business Portfolio Diversification

The planned investments align with Thermax's broader strategy to diversify its business portfolio and strengthen its position in sustainable energy solutions. By focusing on both hydrogen business development and renewable energy capacity expansion through FEPL, the company aims to establish itself as a comprehensive clean energy solutions provider while contributing to India's environmental objectives.

Thermax Limited has informed stock exchanges about the reversal of an acquisition by its subsidiary due to unmet closing conditions. The company's wholly-owned subsidiary First Energy Private Limited (FEPL) has sold back the acquired shareholding to the original seller.

Transaction Reversal Details

FEPL had originally entered into a Share Purchase Agreement on September 6, 2024, to acquire 100% shareholding of Onix-Two Enersol Private Limited (OTEPL). However, due to non-fulfillment of the closing conditions within the agreed and extended timelines, FEPL executed a Share Sale and Purchase Agreement with the original seller and nominee on January 3, 2026.

Regulatory Compliance

The transaction has been structured in compliance with SEBI regulations. Key aspects of the deal include:

• The buyers do not belong to the promoter, promoter group, or group companies
• The transaction does not fall within related party transactions
• The sale is not part of any Scheme of Arrangement
• No slump sale provisions are applicable

Financial Impact

OTEPL reported a total revenue of ₹1.22 lakh as of March 31, 2025, for FY 2024-25. The reversal transaction involves a consideration of ₹1.00 lakh, representing the sale price back to the original seller and nominee.

Corporate Structure

The transaction involves multiple parties including FEPL as the seller, OTEPL as the target company, and the original seller along with its nominee as the buyers. The deal represents a complete exit from the earlier acquisition attempt, returning the shareholding to its original ownership structure.

Thermax has fulfilled its disclosure obligations under Regulation 30 of SEBI Listing Regulations, providing comprehensive details about the transaction reversal to ensure transparency for stakeholders and regulatory compliance.