Thermax shares surged over 4 per cent at its day's high of Rs 1,084 after the engineering company signed an agreement to acquire 33 per cent stake in First Energy, a provider of alternative energy solutions.
Thermax, an engineering solution provider in the energy and environment sectors, had announced the deal after market hours on Wednesday. The agreement envisages stage-wise acquisition of First Energy by Thermax over the next four to six years.
"The partnership offers Thermax synergy and new opportunities in the commercial space to serve customers with alternative and cost-saving solutions," said MS Unnikrishnan, MD & CEO of Thermax.
First Energy is a Pune-based alternative energy company applies biomass and gasification technology to heating applications, specifically to home and commercial cooking. First Energy has recorded revenues of Rs 42 crore in 2014-15.
The Rs 5,500 crore Thermax Group provides integrated solutions in the areas of heating, cooling, power, water and waste management, air pollution control and chemicals.
At 11:35 a.m., Thermax shares were up 3.5 per cent as compared to a 0.60 per cent gain in Nifty.
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