Techno Electric & Engineering, a leading player in India's power infrastructure sector, has announced an ambitious investment plan worth $1 billion over the next five to seven years. This large-scale initiative is aimed at developing approximately 250 megawatts (MW) of data centre capacity across India, a move that underscores the growing strategic importance of digital infrastructure in the country’s economy.
Chennai Data Centre Nearing Completion
The company's first phase of this expansion will see the launch of a 5.6 MW data centre in Chennai, which is expected to be operational within a month. This development marks a crucial milestone in Techno Electric’s foray into the digital infrastructure sector, specifically under its wholly owned subsidiary, Techno Digital Infra.
According to Ankit Saraiya, Director & CEO, the company sees immense potential in the Indian data centre industry, which is currently witnessing robust growth due to the rise in cloud services, data consumption, and digital transformation across sectors.
“Even though it is a high capex industry, we expect at least 16–18% CAGR,” Saraiya said, underscoring the company’s confidence in long-term returns.
Strategic Expansion Across India
Techno Digital Infra is not limiting its presence to Chennai. The company is planning new data centres in Noida and Kolkata and also intends to develop a chain of edge data centres in collaboration with RailTel Corporation of India, a state-owned telecom infrastructure provider. These edge centres will support low-latency, high-efficiency computing near data sources or end users.
“We want to create an interconnected network of large and edge data centres across the country,” Saraiya added.
Looking for Global Strategic Partners
In a bid to scale rapidly and efficiently, Techno Electric is currently in active discussions with global strategic partners. These partnerships are aimed at bringing in not just capital but also technical expertise, industry connections, and innovation capabilities that can enhance the company’s data infrastructure ecosystem.
“We remain focused on engaging with partners that can add value,” Saraiya said, reinforcing the company's long-term, quality-driven growth approach.
Strengthening Core EPC Business Amid Renewable Push
While making a bold entry into the digital space, Techno Electric hasn’t taken its eye off its core business – Engineering, Procurement and Construction (EPC) in the power transmission sector.
The transition towards renewable energy sources, including solar and wind power, is providing a major boost to the EPC segment. According to Saraiya, renewables require four times the transmission infrastructure compared to traditional power systems, which is expected to increase demand for substations and transmission networks.
This trend aligns with India's commitment to renewable energy targets, giving companies like Techno Electric a clear opportunity to play a pivotal role in nationwide energy transition efforts.
Tackling Challenges: Land and Supply Chains
Despite optimism, challenges persist, particularly related to land acquisition delays and global supply chain issues. However, Techno Electric believes its **decades-long experience in executing large.
The Current active IPO are Srigee DLM, Manoj Jewellers, Wagons Learning, Kenrik Industries.
The Closed IPOs are Arunaya Organic, Ather Energy, Iware Supplychain Services.
Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX.
Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst.
