CG Power and Industrial Solutions Limited has informed the Exchange regarding 'Update on BTW'.
CGPOWER · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
CG Power had been selected as the highest bidder in February 2025 to acquire 90% of the equity shares of BTW-Atlanta Transformers India Private Limited from its majority shareholder, Baoding Tianwei Baobian Electric Co., Ltd. (a China Beijing Stock Exchange-listed entity). On 7th May 2025, the Company received a letter from the China Beijing Stock Exchange informing that the minority shareholder of BTW India has exercised its Right of First Refusal (ROFR). As a result, CG Power will not be able to go ahead with the purchase of shares from the majority shareholder, and the proposed acquisition will not be completed.
This is a negative development for CG Power as the planned expansion of its transformers business through the BTW India acquisition has fallen through. Shareholders may see short-term negative sentiment on the stock, though the company had not committed any funds yet, so the financial impact is limited to lost growth opportunity.