HCEL, a prominent entity in its industry, has announced its strategic decision to acquire Himadri Green Technologies Innovation Limited (HGTIL). This move is part of HCEL's broader strategy to expand its business operations and strengthen its market position.

Details of Himadri Green Technologies
Himadri Green Technologies Innovation Limited (HGTIL) was incorporated in India on October 5, 2023. Despite its recent inception, HGTIL has not initiated any operational activities or generated turnover in the last three years.

Acquisition as a Related Party Transaction
The acquisition of HGTIL by HCEL is classified as a related party transaction under SEBI's Listing Obligations and Disclosure Requirements Regulations, 2015. This categorization arises because the promoters of HCEL, along with their relatives, are the 100% shareholders of HGTIL.

Compliance with Regulatory Norms
The transaction between HCEL and HGTIL has been executed at arm's length, adhering to the regulatory guidelines set forth by SEBI. This compliance ensures transparency and fairness in the acquisition process.

Strategic Rationale Behind the Acquisition
HCEL's decision to acquire HGTIL is driven by strategic objectives aimed at enhancing its market presence and operational capabilities. Despite HGTIL's lack of historical business activities, HCEL sees potential synergies and strategic alignment that could benefit its overall corporate strategy.

Financial Details and Consideration
The acquisition involves a cash consideration of up to Rs. 1 lakh for acquiring 100% equity shares of HGTIL. This valuation reflects the minimal operational history and current status of HGTIL within the industry.

No Requirement for Governmental Approvals
The acquisition does not necessitate any governmental or regulatory approvals, streamlining the process timeline for completion. HCEL anticipates finalizing the acquisition within 60 days from the signing of the Share Purchase Agreement (SPA) or as mutually agreed.

Future Prospects and Integration Strategy
Post-acquisition, HCEL plans to integrate HGTIL into its corporate structure through its wholly-owned subsidiary (WOS). This integration is expected to leverage potential synergies and enhance operational efficiencies across HCEL's business lines.

Conclusion: Strategic Expansion and Growth
In conclusion, HCEL's acquisition of Himadri Green Technologies marks a significant step towards expanding its business footprint and strengthening its market position. The transaction, conducted in compliance with regulatory norms, underscores HCEL's commitment to strategic growth and value creation for its stakeholders.

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