Shakti Pumps Invests ₹5.08 Crore in Subsidiary Shakti EV Mobility

On April 23, 2024, Shakti Pumps (India) Limited informed in an exchange filing that the company had invested ₹5,08,00,000 (Rupees Five Crores and Eight Lacs Only) in its wholly owned subsidiary, Shakti EV Mobility Private Limited.

Details of the Investment

Shakti Pumps (India) Limited, a manufacturer of pumps and motors, has invested ₹5.08 crore in its wholly-owned subsidiary, Shakti EV Mobility Private Limited, by subscribing to equity shares of a nominal value of ₹10. The consolidated investment is ₹32 crore after subscribing to equity shares, as mentioned above.

Shakti Pumps (India) Limited stated that the objective of investing in Shakti EV Mobility Private Limited is to initiate and expand the business of the wholly-owned subsidiary. The investment will be made taking into consideration equity shares.

As per the exchange filing, since the company is making an investment into its wholly-owned subsidiary, therefore, the equity shares will be issued from time to time as per the agreement.

Shakti EV Mobility Private Limited was previously known as Shakti Green Industries Private Limited. Shakti EV Mobility Private Limited was incorporated on December 16, 2021. As of March 31, 2023, the company’s Total Assets were ₹932.56 lakh. Shakti EV Mobility Private Limited is involved in the manufacturing of electric vehicle motors for two-wheelers, three-wheelers, four-wheelers, and special-purpose electric vehicles, along with manufacturing chargers for electric vehicles.

About Shakti Pumps (India) Ltd 

Shakti Pumps (India) Ltd is mainly involved in the manufacturing of different kinds of pumps and motors. The company also provides advanced water pumping solutions for various applications, such as horticulture, irrigation, domestic water supply, and industrial and commercial applications. Shakti Pumps (India) Ltd serves both domestic and international markets.

In Q3 FY 2024, the company reported a net profit of ₹40.90 crore, which is up by approximately 258.31% compared to Q3 FY 2023. In Q3 FY 2024, the company reported a total income of ₹469.68 crore, which is up by ~55% compared to Q3 FY 2023.

On April 24, 2024, the share price of Shakti Pumps (India) Ltd opened at ₹1,844.00, touching the day’s high at ₹1,844.00, as of 12:17 PM on the NSE.

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.