Billionaire Mukesh Ambani's Reliance Industries Ltd. has inked a pact to acquire a majority stake in California-based startup SenseHawk Inc., continuing its investments in clean energy.
The oil-to-telecom conglomerate has signed a contract to buy a 79.4% stake in SenseHawk for $32 million via primary infusion and secondary purchase, according to an exchange filing on Tuesday. SenseHawk develops software-based management tools for the solar energy generation industry.
“Over the past two years, RIL has invested $1.6 billion in building capabilities in new energy across EPC (engineering, procurement and construction), technology and supply chain,” Morgan Stanley said in its Sept. 6 investor note.
The research house kept an ‘overweight' rating on the stock with a price target of Rs 3,085, implying a potential upside of 19%.
Reliance Industries has been transitioning its business structure from its mainstay oil and gas to foray into newer segments, such as retail and new energy. The conglomerate has been focusing on bringing more startups under its umbrella.
In March, Reliance, through its new energy unit, acquired assets of Lithium Werks BV for $61 million, including funds for potential growth.
The assets comprise the entire patent portfolio of Lithium Werks BV, its manufacturing unit in China, key business contracts, and hiring of existing employees.
The company has also inked a memorandum of understanding with the Gujarat government to invest Rs 5.95 lakh crore in green energy and other projects.
Last year, the conglomerate announced its commitment to invest about $10 billion (Rs 75,000 crore) to develop India's clean energy ecosystem and chalked out a roadmap that includes building everything—from solar modules to hydrogen fuel cells.
Reliance has also been tapping into opportunities in the retail vertical. In March, the company had acquired an 89% equity stake in Purple Panda Fashions Pvt.—the owner of Clovia brand—with an investment of Rs 950 crore.
In April, Reliance Brands had signed contracts to invest in Abu Jani Sandeep Khosla couture brand for a 51% majority stake.
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