The investment, totaling ₹30.43 crore, will be made in cash, with Chemplast Sanmar acquiring an 18.46% stake for ₹21.38 crore and CCVL taking 7.81% for ₹9.05 crore. The SPV will develop 64.9 MW AC (92.80 MW) of solar power capacity and 20 MW of wind power.
The acquisition follows the signing of a Power Purchase Agreement (PPA) with JSW Green Energy Nine Ltd, allowing Chemplast Sanmar and CCVL to source renewable energy under the Group Captive Power Scheme. The agreement is aimed at securing long-term access to green energy, reducing carbon emissions, and significantly lowering energy costs.
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“…we wish to inform that the company and its wholly owned subsidiary (WOS) Chemplast Cuddalore Vinyls Ltd (CCVL) have entered into Power Purchase Agreement with JSW Green Energy Nine Ltd and have agreed to execute a Share Subscription and Shareholders’ Agreement with JSW Neo Energy Limited and JSW Green Energy Nine Ltd in terms of which the company and CCVL will be acquiring equity shares of JSW Green Energy Nine Ltd,” Chemplast Sanmar said in a regulatory filing.
The investment aligns with Chemplast Sanmar’s sustainability goals, ensuring a reliable renewable energy supply for its operations. The SPV will act as a captive power generator, supplying electricity exclusively to the company and its subsidiaries.
Chemplast Sanmar stated that the transaction is a strategic move to enhance energy security while transitioning to renewable power sources. The long-term PPA ensures price stability, shielding the company from energy price fluctuations.
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Shares of Chemplast Sanmar Ltd ended at ₹407.00, down by ₹0.90, or 0.22%, on the BSE.
First Published: Feb 27, 2025 11:33 PM IST
