Grasim Board Approves Restructuring of Renewable Energy Business

30 Dec 2025 , 03:52 PM

Grasim Industries Ltd on Monday said its board has cleared a composite scheme of arrangement involving Essel Mining and Industries Ltd, Aditya Birla Renewables Ltd, and certain other group entities as part of a restructuring exercise within the group’s renewable energy business.

As part of the scheme, the renewable energy undertaking of Essel Mining and Industries will be transferred to Aditya Birla Renewables, a wholly owned subsidiary of Grasim, on a slump sale basis as a going concern.

The company said the transfer will be executed without assigning individual values to assets and liabilities and will be carried out in accordance with applicable provisions of the Income Tax Act.

The board has also approved the merger of Electrotherm Renewables Private Ltd, which is a wholly owned subsidiary of Essel Mining and Industries, into Aditya Birla Renewables.

In addition, three wholly owned subsidiaries of Aditya Birla Renewables, ABREL EPCCO Services Ltd, ABREL Renewables EPC Ltd and ABREL EPC Ltd, will be merged with Aditya Birla Renewables as part of the same arrangement.

Grasim said the proposed restructuring is intended to bring renewable energy assets and related service capabilities under a single consolidated platform. The move is expected to simplify the existing corporate structure, improve operational coordination and enable better scale efficiencies across the renewable energy value chain.

The company added that the consolidation will also help strengthen management oversight and streamline execution of renewable energy projects. The scheme of arrangement will be implemented subject to approvals from shareholders and creditors, as well as clearance from the National Company Law Tribunal and other statutory and regulatory authorities.

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