JK Tyre Invests in Solar Power Entity to Secure Captive Energy Source
JK Tyre & Industries Ltd. (JKTIL) has approved an investment into STTY RE Banmore Ltd. (STRBL), a company focused on solar power generation, aiming to secure a captive energy supply for the tyre manufacturer. The investment is set at Rs. 1.38 Crore for acquiring a minimum of 26% equity stake in STRBL.The acquisition targets the renewable energy sector, enabling JKTIL to source electricity from STRBL at a competitive market rate for a period spanning 25 years. By securing this equity holding, JKTIL will qualify as a captive user of power generated by STRBL.
JKTL stated that the company had been exploring various developers for its solar power project and shortlisted STRBL after receiving a highly competitive rate proposal for a 6 MWp Solar Power Project under the Captive Power Route. The CAPEX of approximately Rs. 17.70 Crore required for the entire project will be funded by STRBL, with JKTIL contributing the specified equity capital.
The acquisition is structured as a cash consideration transaction and is expected to be completed within 90 days.
Target Company Details
STRBL, which was formerly known as STFN RE Ltd., operates in the Power Generation using solar energy industry. The company was incorporated on March 10, 2025, and changed its name effective July 8, 2026.Details regarding STRBL’s financial status for the Financial Year ended March 31, 2026 are as follows:
| Particulars | Details |
|---|---|
| Turnover | Nil |
| Profit after Tax | (0.62) lakh |
| Net worth | 0.38 lakh |
STRBL is a subsidiary of Sago Trading Ltd., which is classified as a Promoter Group Constituent and related party to JKTIL. The proposed acquisition transaction has been conducted on an arm’s length basis, approved by the Audit Committee. JK Tyre & Industries Ltd. will acquire a minimum of 26% shareholding in STRBL to meet captive power requirements.
JKTYRE Stock Price Movement
As of 1:53 PM, JK Tyre & Industries Limited sheds value by 4.98% in live trading, with shares currently tracking at ₹392.65 after a decline of ₹20.60. The stock has seen robust movement so far this session, with approximately 1.7 million shares traded during the ongoing market phase.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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