Hyundai Motor India Acquires 26.13% Stake in FPEL TN Wind Farm

GURUGRAM, June 6, 2025: Hyundai Motor India Ltd (NSE: HYUNDAI, BSE: 544274) has announced that it has acquired a 26.13% equity stake in FPEL TN Wind Farm Private Limited following the allotment of shares via a private placement.

The main reason behind the acquisition is the company’s strategy to focus on sustainability and renewable energy.

Hyundai has released the first tranche of ₹16.59 crore on June 6, 2025, for subscribing to 23,62,638 equity shares of FPEL TN Wind Farm. This transaction is part of the company’s earlier agreement dated November 20, 2024, under which it committed to invest ₹38.05 crore in one or more tranches to acquire a minimum 26% stake in the wind energy firm. From the commitment of ₹38.05 crore, it has released ₹16.59 crore so far.

Deal Structure

• Total Investment Committed: ₹38.05 crore
• First Tranche Released: ₹16,58,57,187.60
• Stake Acquired Post First Tranche: 26.13%
• Mode of Allotment: Private Placement

Background and Regulatory Compliance

The acquisition by Hyundai was executed following a Share Subscription and Shareholders’ Agreement (SSSHA) signed with Fourth Partner Energy Pvt Ltd and FPEL TN Wind Farm Pvt Ltd. Hyundai has confirmed that all disclosure requirements under SEBI’s Listing Obligations and Disclosure Requirements (LODR) Regulations and the circular dated November 11, 2024, have been duly met.

Official Statement By Hyundai

“We are pleased to announce the allotment of shares under the first tranche of investment into FPEL TN Wind Farm. This marks a significant step in Hyundai’s green energy initiatives,” said Pradeep Chugh, Company Secretary and Compliance Officer, Hyundai Motor India Ltd.

How Did Investors React?

Hyundai Motor’s shares closed at ₹1,860.20, up by 1.35% or ₹24.75. The shares made an intraday high of ₹1,865.95 and an intraday low of ₹1,812.65 at the time of June 6th market closing.

What’s Next?

Hyundai’s investment in FPEL TN Wind Farm signals a serious long-term shift towards clean energy. By acquiring a strategic 26.13% stake, the company is not just aiming for power cost efficiency but also meeting sustainability goals and regulatory expectations. Over the coming months, Hyundai is likely to release the remaining amount from its ₹38.05 crore commitment.

REF: https://nsearchives.nseindia.com/corporate/HMILNSE_06062025161932_ACQHMIL06062025.pdf

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