Outcome of Board Meeting held today i.e., June 11, 2025
Awaiting price reaction for this filing.
Onix Solar Energy's board approved acquiring 99.99% (89,99,900 shares) of Onix-Tech Renewable Private Limited, a solar module manufacturer, for a total consideration of Rs. 488.77 Crores at Rs. 543.08 per share. The deal will be executed entirely through a share swap, involving issuance of up to 1,85,13,885 equity shares at Rs. 264 each to Onix Renewable Limited. Additionally, the board approved a separate preferential allotment of 47,99,825 equity shares at Rs. 264 each to 99 allottees, and increased authorized share capital from Rs. 5 Crores to Rs. 27 Crores. The investment limit under Section 186 was also raised to Rs. 700 Crores. An EGM is scheduled for July 11, 2025, to seek shareholder approval. The acquisition aims to consolidate group manufacturing operations and achieve vertical integration in the solar value chain, with Onix Solar planning 1,200 MW TOPCon solar module and cell facilities.
Existing shareholders will see significant dilution as the total share count expands from around 2.87 lakhs to roughly 2.36 Crores post-allotment, a massive increase of over 80x. While the acquisition brings in a revenue-generating solar manufacturing business (Rs. 99.69 Crores turnover in FY25), the steep dilution and share-swap structure at Rs. 264 per share are key concerns for current retail holders. Stock price reaction will likely depend on how the market values the expanded capacity versus the dilution impact.