Shares of Gensol Engineering rise on acquiring 54.38% stake in Scorpius Trackers

18 September 2023
2 mins read
The acquisition boosts Gensol's position as a leading provider of renewable energy solutions and aims to diversify its portfolio by expanding into new markets and offering clients an end-to-end EPC solution with solar tracking technology.
Shares of Gensol Engineering rise on acquiring 54.38% stake in Scorpius Trackers

Gensol Engineering has purchased 58,779 equity shares in Scorpius Trackers (Scorpius), representing 54.38% of Scorpius’s share capital and voting rights, totalling Rs 135 crore. Scorpius is now a subsidiary of the company as a result of this.

This acquisition boosts Gensol Engineering’s position as a leading provider of end-to-end renewable energy solutions and is part of the company’s ambition to diversify its portfolio by expanding into new markets. With the purchase of Scorpius Trackers, Gensol will be able to provide its clients with an end-to-end EPC solution that incorporates revolutionary solar tracking technology, allowing them to lower their levelized cost of energy.

According to a stock exchange filing, Gensol Engineering is set to pay Rs 51.4 crore in cash to the existing shareholders of Scorpius Trackers, the company said. A further Rs 60 crore will be offered as consideration, not in cash but through the issuance and allotment of up to 4,05,400 equity shares of Gensol Engineering to Scorpius Trackers’ existing shareholders. This issuance was successfully completed on September 13, 2023.

Gensol Engineering is engaged in providing technical due diligence, detailed engineering, quality control, construction supervision, and other consulting services for solar projects across many countries, including India.

At the time of writing, Gensol Engineering is currently trading at Rs 1884.95, up by 9.40 points or 0.50% from its previous closing of Rs 1875.55 on the BSE. The scrip opened at Rs 1895.05 and touched a high and low of Rs 1926.05 and Rs 1876.50, respectively. So far 1194 shares have been traded on the counter.

The BSE group ‘B’ stock of face value of Rs 10 has touched a 52-week high of Rs 2119.45 and a 52-week low of Rs 797.05. Last one week high and low of the scrip stood at Rs 1968 and Rs 1789.80, respectively. The current market cap of the company is Rs 2367.75 crore. The promoters holding in the company stood at 64.67%, while Institutions and Non-Institutions held 2.60% and 32.72% respectively.

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.