Shares of Force Motors were up on Wednesday as the firm was set to buy a stake in a Tata Power-owned firm and enter the clean energy sector.
What Happened: Commercial vehicle manufacturer Force Motors announced its strategic entry into the renewable energy sector with the acquisition of a 12.21% stake in TP Surya for ₹2.68 crore.
TP Surya, a wholly-owned subsidiary of Tata Power Renewable Energy, focuses on ground-mounted solar photovoltaic power projects in Maharashtra.
The move aligns with Force Motors’ goal to spur green energy initiatives and portfolio diversification. The acquisition is tied to the solar power generated from a new plant that TP Surya plans to establish.
Force Motors aims to actively contribute to Maharashtra’s green energy landscape and beyond through this collaboration with Tata Power Renewable Energy.
Anticipated to be completed by March 31, 2024, the acquisition leverages the Maharashtra Group Captive arrangement for green energy under open access.
Price Action: Force Motors’ share price was up 1.42% at ₹3,735.95 at the start of trade on Wednesday. Meanwhile, Tata Power’s shares were up 0.21% at ₹331.50.
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