Reading Time: 1 minutes
Tech Mahindra informed the stock exchanges that it has acquired a 26 percent stake in Huoban Energy 6 Private Ltd. Huoban Energy, set up in November 2021 in Hyderabad, is presently a 100 percent subsidiary of solar energy firm Fourth Partner Energy Pvt Ltd. Being a newly incorporated entity, the regulatory filing noted.
The acquisition would enable the company to procure 5 MW solar energy for consumption at its facilities located in Pune, Maharashtra. It is in line with the strategy to become a net-zero emitter by 2040, the IT services company claimed.
Tech Mahindra said it will pay a total sum of Rs 1.60 crore for the acquisition in an all-cash deal, adding that the transaction is estimated to be completed within 90 days.
The acquisition has been made under the “group captive” programme, which will allow Tech Mahindra to consume the renewable energy that will be generated by Huoban Energy.
“Tech Mahindra is signatory to Business Ambition for 1.5°C that commits to contain the rise in global temperature by 1.5°C. Tech Mahindra has adopted a climate action plan that provides a roadmap for the organisation to become Net Zero before 2040. While we have installed rooftop solar plants at all our owned campuses, we also plan to procure renewable energy through captive projects at all our owned campuses,” it added.