MRF Invests in Serentica Renewables for Solar and Wind Power

MRF Limited will invest ₹99 crore to acquire a 26% stake in Serentica Renewables India 26 Private Limited. The investment is through cash consideration. Along with the equity stake, MRF has signed an agreement to buy solar and wind power under the government’s captive power policy. The deal is expected to be completed by July 31, 2026.

Power Supply Arrangement

Under the agreement, MRF will source electricity from the jointly owned renewable facility. The company is expected to meet at least 51% of its power needs through this setup. This arrangement provides a consistent and predictable supply of electricity for MRF’s manufacturing units.

About Serentica Renewables

Serentica Renewables India 26 Private Limited is based in Gurugram and was incorporated on May 5, 2025. The company develops and manages renewable energy projects, including solar, wind, hydel, geothermal, and energy storage. Being newly incorporated, it has not started commercial operations and currently has no turnover.

MRF’s Current Energy Usage

Currently, about 12% of MRF’s electricity comes from renewable sources through existing agreements. The new investment will expand the company’s access to renewable power. The captive power arrangement helps plan energy use and manage costs over the long term.

The move also supports MRF in meeting India’s Renewable Purchase Obligations. The arrangement follows the Electricity Act framework for group captive generation. Other tyre companies in India are also investing in renewable energy to meet regulations and manage their power requirements.

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MRF Share Price Performance 

As of October 10, 2025, 11:44 AM, MRF share price was trading at ₹1,54,590.00, a 1.13% down from the previous closing price.

Conclusion

MRF’s investment and power agreement with Serentica will provide a steady source of renewable electricity. The arrangement allows the company to gradually increase the share of renewable energy in its operations while complying with regulatory requirements.

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