Havells India acquires stake in Kundan Solar for green energy shift

Havells India Limited has approved the acquisition of a 26% stake in Kundan Solar (Pali) Private Limited, a Special Purpose Vehicle (SPV) focused on developing, installing, operating, managing, and maintaining solar power plants. This investment, totaling INR 5.63 Crores, is part of Havells' strategy to transition towards green energy. The acquisition is planned in multiple tranches, with completion expected by June 30, 2026.

Kundan Solar, a subsidiary of Kundan Green Energy Private Limited, was incorporated on April 3, 2025, in India. Havells aims to set up a 15 MWac solar power plant through this venture and enter into a long-term Power Purchase Agreement (PPA) for up to 25 years. This 26% shareholding fulfills the minimum requirement under Electricity Laws for Havells to qualify as a captive consumer, anticipating power cost savings at its Rajasthan plant locations with an estimated payback period of 12-18 months post-commissioning.

The commissioning of the plant is expected in Q2 FY26-27. While promoters of Kundan Group are related to one of Havells' promoters, Havells' promoter/promoter group has no interest in Kundan Solar. The entire consideration for this acquisition will be in cash.