BASF Partners with Clean Renewable Energy for 25 Years

About Agreement

BASF India Limited, a leading chemical company, has signed a significant agreement to secure renewable energy for its manufacturing site in Mangalore, Karnataka. This move demonstrates BASF’s commitment to sustainability and aligns with the Indian government’s push for clean energy adoption. The agreement is a 25-year Power Purchase Agreement (PPA) with Clean Renewable Energy KK 2C Private Limited, a special-purpose vehicle established by Hero Rooftop Energy Private Limited. The agreement secures 2.7 MW of renewable power for BASF’s Mangalore facility. To comply with Karnataka’s prevailing renewable energy policy, BASF will hold a 26% equity stake in Clean Renewable Energy KK 2C Private Limited, with an investment not exceeding Rs. 1.5 crore.

A Share Subscription and Shareholder Agreement was signed on April 2nd, 2024, by BASF India, Clean Renewable Energy KK 2C Private Limited, and Hero Rooftop Energy Private Limited. The finalization of the transaction is subject to receiving the necessary approvals. By switching to renewable energy, BASF India can significantly reduce its carbon footprint and contribute to environmental sustainability. Renewable energy offers a long-term, cost-effective, reliable power source for BASF’s manufacturing operations. This agreement aligns with the Indian government’s initiatives to promote clean energy adoption and reduce dependence on fossil fuels. BASF India’s commitment to renewable energy showcases the growing importance of sustainability within the manufacturing sector. This agreement paves the way for a greener future for BASF’s operations in India.

Share Price Movement

BASF India share price is currently trading at Rs 3,573.05, up 0.12% from the previous close of Rs 3,568.60. The stock has seen a range of Rs 2,250.00 – Rs 3,627.70 in the past 52 weeks. The upper and lower price bands are Rs 4,282.30 and Rs 2,854.90 respectively, with a 20% buffer on either side.

BASF India has a market capitalization of Rs 15,474.62 crore and is categorized as a ‘ListedGroup’ company with a T+1 settlement type. It’s also included in the S&P BSE 500 index and operates in the Specialty Chemicals industry.

About Company

BASF India, formerly known as R A Cole, was established in 1943 and later changed its name to Indoplast in 1963. It became the flagship company of the BASF Group in 1967. BASF India caters to various industries, including plastics, care chemicals, construction chemicals, petrochemicals, automotive and refinery chemicals, and paper chemicals. Key production sites are located in Dahej, Mangalore, Ankleshwar, Thane, and Chennai. BASF India maintains two R&D centers in Mumbai and Mangalore, part of its global technology platform. The company’s portfolio comprises five segments: Chemicals, Performance Products, Functional Materials & Solutions, Agricultural Solutions, and Oil & Gas.

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