Mahindra CIE Automotive to acquire 26 per cent share in Strongsun Solar

Mahindra CIE Automotive Limited will buy a 26 per cent share in Strongsun Solar Private Limited to obtain green power from two captive solar power plants to be setup by Strongsun Solar.

Strongsun will be setting up two captive generating plants of 7 MWp and 3 MWp capavity and supply captive solar power from these plants to company’s factory of Foundry Division at Urse and Magnetics Products Division at Bhosari respectively. The investment is being planned mainly to qualify as a captive consumer. To qualify as a captive consumer, Mahindra CIE Automotive must own at least 26 per cent of the entire equity capital of the solar power plants. The acquisition is expected to cost around Rs 33.5 million. The investment will be made in two tranches. The acquisition is expected to be completed in nine months. Strongsun is incorporated as a special purpose vehicle by CSE Development (India) Private Limited (Cleantech).