M&M to Invest Over INR 37 Cr for 26 Percent Stake in Gelos to Secure Captive Renewable Power

Mahindra & Mahindra (M&M) has approved an investment of INR 37.14 crore to acquire a 26 percent stake in Gelos Solren Pvt. Ltd., a step-down subsidiary engaged in renewable power generation.

The automaker will subscribe to 10,53,877 equity shares at INR 352.44 per share, entirely through cash, with the transaction targeted for completion by April 30, 2026.

Gelos posted a INR 3.84 crore loss for FY 2024–25, with a net worth of INR 3.67 crore. It is fully owned by Mahindra Susten Pvt. Ltd.(MSPL), itself a subsidiary of Mahindra Holdings.

The firm said in its filing," Gelos, is in process of establishing a Group Captive Hybrid Power Plant in Maharashtra, India to supply the power generated from the Captive Generating Plant / Unit to the Company and other companies on captive basis. Further, to qualify and comply as a captive user as per Electricity Rules 2005, the Company along with other companies (including group companies, if any) are required to hold at least 26 percent of the Share Capital of the Gelos.

The group-captive hybrid power plant comprises 100.8 MW of wind capacity and 50 MW of solar capacity (AC). Post-allotment, MSPL will hold 74 percent, while M&M will own 26 percent of Gelos’ enlarged equity base of 40,53,372 shares. The funds raised will support project capex, working capital, and general corporate requirements for Gelos.