NCLT approves Inox Green demerger of power evacuation business

The National Company Law Tribunal (NCLT), Ahmedabad Bench, has approved the Scheme of Arrangement for the demerger of the Power Evacuation Business of Inox Green Energy Services Limited into Inox Renewable Solutions Limited. The company received the certified copy of the order on April 27, 2026.

The scheme, with an appointed date of October 1, 2024, separates Inox Green’s operations and maintenance (O&M) services for wind turbine generators from its power evacuation and Engineering, Procurement, and Construction (EPC) activities. Post demerger, Inox Green Energy Services is expected to function as a pure-play O&M services provider, while Inox Renewable Solutions will house the power evacuation business.

Under the arrangement, shareholders of Inox Green Energy Services will receive 122 equity shares of Inox Renewable Solutions for every 1,000 shares held.  

The scheme was approved by the required majority of equity shareholders, warrant holders, secured creditors, and unsecured creditors of both companies at meetings held on November 1 and 2, 2025. The NCLT observed that the arrangement is fair and reasonable, with no objections from statutory authorities.

The tribunal directed compliance with all applicable regulations, including SEBI norms, Foreign Exchange Management Act (FEMA) provisions, and filings with the Registrar of Companies. The Income Tax Department has been allowed to examine any tax implications arising from the scheme.

Upon effectiveness, all assets, liabilities, contracts, and employees related to the Power Evacuation Business will be transferred to Inox Renewable Solutions. The demerger is intended to allow both entities to pursue focused growth strategies.