₹12.15 cr deal gives Servotech ALMM-approved PV manufacturing base, plans 6X expansion to make TOPCon panels for domestic & global markets.
Key Deal Highlights
✔ ₹12.15 crore investment for 27% stake in Rhine Solar
✔ Valuation: ₹127.88 per share (9,50,106 shares acquired)
✔ Integration Timeline: Completion within 90 days
✔ Capacity Expansion: 100MW → 600MW by 2026
Strategic Rationale
1. Backward Integration Play
- Direct entry into PV module manufacturing via ALMM-approved facility
- Secures supply chain for Servotech’s solar EPC & EV charging business
- TOPCon technology focus: 12-busbar N-type panel production
2. Financial Synergies
📈 Rhine Solar’s Growth:
- FY25 Provisional Revenue: ₹82.41 crore (37% YoY growth from ₹60.01 crore)
- Scalable manufacturing base with immediate ALMM compliance
3. Market Expansion
🌍 Dual-market strategy:
- Domestic: Serve PLI-linked solar projects
- Global: Export potential to EU/MEA markets
⚡ EV-Solar Convergence: Integrated solutions for charging infrastructure
Technology & Production Roadmap
🔬 Immediate Focus:
- Ramp up existing 100MW facility utilization
- Process optimization for TOPCon panels
🏭 Phase-2 (2026):
- 6X capacity expansion to 600MW
- Advanced automation for high-efficiency modules
Management Vision
Raman Bhatia, MD, Servotech:
*”This transforms us into an end-to-end solar solutions provider. Our TOPCon panels will replace imports while supporting India’s 500GW renewable target.”*
Industry Impact
🛠️ Make in India Boost:
- Reduces dependence on Chinese module imports
- Strengthens domestic PV manufacturing ecosystem
📊 Competitive Edge:
- Combined entity can bid for larger solar+storage tenders
- Higher margin control across value chain
Financial Metrics
💰 Servotech’s Investment:
- Represents ~15% of current market cap
- Expected ROI: 3-5 years via vertical integration benefits
📅 FY26 Projections:
- ₹300-400 crore revenue potential from expanded capacity
- 18-22% EBITDA margins in module business
Regulatory Advantage
✅ ALMM List Compliance – Immediate eligibility for govt tenders
✅ PLI Scheme Alignment – Future expansion may qualify for incentives
