CG Power Share Price In Focus As US Subsidiary Partners With Flanders To Expand Railway Sector Presence

CG Power and Industrial Solutions Limited stock is in focus on August 12, 2025. This comes a day after its wholly owned step-down subsidiary in the United States, CG DE SUB, LLC (CG USA), announced a strategic agreement with Flanders Electric Motors Service, LLC to strengthen its presence in the American railway sector.

Strategic Partnership To Tap the US Railway Market

CG USA has partnered with Flanders Electric Motors Service, a global leader in electrical rotating equipment and technology solutions, to offer high-quality, competitively priced products and services to the US railway sector.

With an expansive network of around 140,000 miles, three times larger than Indian Railways, the US market offers substantial opportunities for traction motor replacements and refurbishments. The partnership leverages Flanders’ local capabilities in rapid throughput, quality assurance, and reliable repairs, combined with CG’s eight decades of global expertise.

Focus On Speed, Quality And Localised Engagement

The collaboration will enable CG USA to deliver solutions with faster turnaround times and enhanced customer engagement through a local service network. Both companies aim to scale capabilities in the US rail market, underpinned by a shared commitment to technical excellence and continuous improvement.

Amar Kaul, Global CEO and Managing Director of CG, said the partnership complements CG’s world-class manufacturing capabilities, ensuring timely and cost-effective services for US rail operators. Kim Weninger, CEO of Flanders, called the collaboration a natural extension of its heavy industry legacy and growing traction motor business.

About CG Power And Industrial Solutions

Headquartered in Mumbai, CG Power operates in industrial and power systems, manufacturing traction motors, propulsion systems, signalling relays, and a variety of industrial products. It has also expanded into consumer appliances and semiconductors, setting up an Outsourced Semiconductor Assembly and Testing (OSAT) facility and acquiring the RF components business from Renesas.

With 18 manufacturing units in India and one in Sweden, CG Power reported consolidated revenue of ₹9,909 crore in FY25. The company has been part of the Murugappa Group since November 2020.

About Flanders

Based in Evansville, Indiana, Flanders is a global provider of industrial electrical and automation solutions, specialising in electric rotating machines and advanced automation technologies for heavy industries. It has over 75 years of industry experience and expertise in decarbonisation, mining automation, and advanced controls.

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CG Power and Industrial Solutions Share Price

As of 10:28 AM on August 12, 2025, CG Power and Industrial Solutions share price was down 0.84% to ₹659.

Conclusion

While CG Power's share price saw a marginal decline, the US subsidiary’s tie-up with Flanders could play a key role in expanding its global footprint in the railway sector.

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