Dalmia Cement to Acquire 26% Stake in Truere Surya for Solar Power Project

On September 3, 2024, Dalmia Bharat Limited announced that its wholly owned subsidiary, Dalmia Cement (Bharat) Limited (DCBL), has entered into a Share Subscription and Shareholders Agreement (SSSHA) to acquire a 26% equity stake in Truere Surya Private Limited.

The acquisition involves purchasing 4,48,00,000 equity shares, totalling ₹44.80 crore, with the investment structured to be executed in one or more tranches. This transaction is expected to be completed within 4 to 6 months, pending customary conditions precedent.

Truere Surya Private Limited is a special purpose vehicle based in Greater Noida, Uttar Pradesh, focused on establishing a solar power project. The solar project, located in Tamil Nadu, will have a capacity of up to 128 MW. This initiative aligns with Dalmia Bharat’s strategic goals of enhancing its renewable energy sources.

The acquisition supports the company’s commitment to achieving its RE 100 target by 2030 and becoming carbon negative by 2040. The renewable power from this solar project will qualify as captive consumption under the Electricity Act/Rules, further solidifying Dalmia Bharat’s sustainability efforts.

The investment in Truere Surya is a significant step for Dalmia Bharat as it seeks to diversify and expand its renewable energy portfolio. By securing a substantial share in this solar power project, the company aims to enhance its green energy capacity and support its overarching environmental goals. The transaction reflects Dalmia Bharat’s proactive approach in leveraging renewable energy to meet its sustainability targets while contributing to a greener energy landscape in India.

The completion of this transaction will also bolster Dalmia Bharat’s position in the renewable energy sector and facilitate its transition towards more sustainable operations, aligning with the global shift towards clean and renewable energy sources.

On September 4, 2024, the share price of Dalmia Bharat Ltd opened at ₹1,907.40, touching the day’s high at ₹1,918.95, as of 9:56 AM on the NSE.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.