Sanathan Textiles arm to acquire 26% stake in Serentica unit

Sanathan Textiles Limited has announced that its wholly owned subsidiary, Sanathan Polycot Private Limited (SPPL), will acquire a 26% stake in Serentica Renewables India 33 Private Limited for a total consideration of Rs 48 crore. The investment will be made in tranches under a Share Subscription and Shareholders’ Agreement (SSSHA) and a Power Supply and Consumption Agreement (PSCA), enabling SPPL to source renewable power as a captive consumer for 32 MW.

Strategic rationale and structure

The company stated that the transaction is intended to secure long-term renewable power for SPPL’s manufacturing operations at competitive cost. It is also expected to support emissions reduction and improve energy cost visibility over time.

The transaction does not involve related parties, and no promoter or promoter group entities have any interest in the target company.

Target profile and transaction terms

Serentica Renewables India 33 Private Limited, incorporated on June 29, 2025, is a subsidiary of Serentica Renewables India Private Limited. The company focuses on developing and operating solar and wind projects, including ISTS-connected captive power assets in India.

SPPL will acquire a non-controlling stake of at least 26% through a cash investment of Rs 48 crore, with no share swap involved. Completion is expected in line with agreed tranche schedules, subject to customary conditions precedent.

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