The shares of Shakti Pumps (India) Limited were trading at ₹1,240, up by ₹18.90 or 1.55% on the BSE today at 12:45 PM.

Shakti Pumps (India) Limited has invested ₹3.8 crore in its wholly owned subsidiary Shakti Energy Solutions Private Limited (SESPL) through subscription of 3.8 crore equity shares at ₹1 per share, the company announced on Friday.

The investment aims to expand the business operations of SESPL, which manufactures solar structures and deals in polyhouse and solar rooftop solutions. The transaction was completed on the same day of the announcement, with no regulatory approvals required.

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SESPL, incorporated in September 2010, has shown varying performance over the past three fiscal years. The subsidiary recorded a turnover of ₹139.59 crore in FY24, up from ₹99.15 crore in FY23, though lower than ₹154.63 crore achieved in FY22.

The company informed both the National Stock Exchange of India and BSE Limited that the acquisition does not fall under related party transactions since SESPL is already a wholly owned subsidiary. The equity shares will be issued periodically according to the agreement between the two entities.

This capital infusion into SESPL aligns with Shakti Pumps’ strategy to strengthen its presence in the solar energy solutions sector, complementing its main business operations.