Godawari Power and Ispat Limited (GPIL) has announced the conversion of its Non-Cumulative Participating Optionally Convertible Redeemable Preference Shares into equity shares in its wholly owned subsidiary, Godawari New Energy Private Limited (GNEPL). This conversion, completed on 18 March 2026, resulted in the allotment of 19,89,00,000 equity shares valued at ₹10 each, amounting to a total investment of ₹198.90 crore.
The preference shares, initially issued on 18 November 2025 and 16 December 2025, were converted into equity shares as per the terms of the issuance. This strategic move has increased GPIL’s equity holding in GNEPL from 10,11,00,000 to 30,00,00,000 shares, consolidating its 100% ownership of the subsidiary without any additional cash infusion.
GNEPL, incorporated on 25 June 2025, is in the process of establishing a 20 GWh Battery Energy Storage System Plant, marking its entry into the energy sector, specifically focusing on battery energy storage systems. The company is headquartered in Raipur, Chhattisgarh, with operations set to commence in Maharashtra.
The conversion of preference shares into equity is a related party transaction, as GNEPL is a wholly owned subsidiary of GPIL. The transaction was executed at arm’s length, ensuring compliance with regulatory requirements.
As of 31 December 2025, GNEPL reported a net worth of ₹101.10 crore, although it has yet to generate revenue. The conversion aligns with GPIL’s strategic objectives to bolster its investment in the energy sector, leveraging GNEPL’s potential in battery energy storage.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).