Thermax Limited has entered into definitive agreements to raise its stake in Exactspace Technologies Private Limited to 51% on a fully diluted basis, converting the artificial intelligence-driven industrial technology company into its subsidiary.
The company signed a Share Subscription and Share Purchase Agreement along with a Shareholders’ Agreement with Exactspace, its promoters and existing investors. Thermax currently holds a 15.17% stake in Exactspace, which has been classified as an associate company. With this transaction, Thermax will acquire an additional 35.83% stake for a total consideration of ₹30.48 crore, subject to transaction adjustments. The deal will be completed through cash consideration.
Upon completion, Thermax’s total holding in Exactspace will rise to 51%, resulting in a change in status from associate to subsidiary. The agreements also provide Thermax with the right to acquire the remaining 49% stake after a period of three years, subject to agreed terms and conditions.
The company stated that the transaction qualifies as a related party transaction. However, it clarified that the promoter and promoter group do not have any interest in Exactspace.
Exactspace Technologies operates in the IT industry and focuses on developing Artificial Intelligence-based Industrial Internet of Things solutions for manufacturing customers of Thermax. The acquisition is strategically aligned with Thermax’s objective to strengthen its digital capabilities and enhance its end-to-end asset lifecycle support offerings.
Through this integration, Thermax aims to leverage Exactspace’s expertise in predictive asset maintenance, process optimisation, analytics-driven failure analysis and improvement of asset efficiency, uptime and longevity. The move is expected to deepen Thermax’s service portfolio by combining engineering capabilities with advanced digital intelligence solutions tailored for industrial clients.
Exactspace Technologies Private Limited was incorporated on December 14, 2017, and is headquartered in Domlur Layout, Bengaluru, Karnataka. Over the last three financial years, the company has reported steady revenue growth. It posted a turnover of ₹6.21 crore for the financial year ended March 31, 2025, compared to ₹5.51 crore in FY24 and ₹5.52 crore in FY23.
No governmental or regulatory approvals are required for the transaction. The acquisition of the 51% stake will be completed subject to fulfilment of conditions precedent, while the remaining 49% stake may be acquired after three years in accordance with the definitive agreements.