Reliance Industries to Buy 88% Shares in Kanoda Energy Systems

In a BSE filing, RIL mentioned that it will pay Rs 75 crore for the ownership and the deal will be fully complete by March 2020.

Indian industrial giant Reliance Industries Limited (RIL) has entered into an agreement to purchase 88% equity shares of Kanoda Energy Systems Private Limited (KESL).

In a BSE filing, RIL mentioned that it will pay Rs 75 crore for the ownership and the deal will be fully complete by March 2020.

KESL is a renewable energy services company incorporated on 24th August 2007 having presence in specialized fields of solar advisory, product design and technology validation.

KESL has recently forayed into engineering, procurement & construction (EPC) and operation & maintenance (O&M) of solar photovoltaic (PV) systems.

KESL had turnover of INR 10.54 crore, INR 1.63 crore and Net Loss of INR 81.38 lakhs, INR 16.54 lakhs and INR (0.51) lakhs in FY 2018, FY 2017 and FY 2016 respectively.

The aforesaid investment will assist in the group’s initiatives to use renewable energy sources.

All statutory approvals have been obtained for this investment. No regulatory approvals are required for this investment, RIL informed the BSE.

The investment does not fall within related party transactions and none of RIL’s promoter / promoter group / group companies have any interest in the transaction, RIL said in its filing.