Lumax Auto Technologies Expands into Green Energy with Greenfuel Acquisition

Lumax Resource acquired a 60% stake in Greenfuel Energy Solutions' alternate fuel business for Rs 153.09 crore. This strategic move allows Lumax Auto Technologies to enter the growing green and alternate fuels segment, aiming to broaden its offerings in CNG and hydrogen applications, particularly for passenger vehicles.

Lumax Resource has solidified its presence in the green energy sector by acquiring a 60% stake in Greenfuel Energy Solutions. The acquisition, valued at Rs 153.09 crore, marks a significant step for Lumax Auto Technologies Limited (LATL) in the alternate fuels segment, which includes CNG and hydrogen.

The acquisition was funded through a mix of debt and internal accruals, signaling LATL's confidence in the growth potential of alternate fuels, especially CNG in passenger vehicles. Deepak Jain, Promoter Director of LATL, emphasized the company's strategy to deliver high-quality solutions amidst the expected market expansion.

Greenfuel, known for its high-pressure fuel systems, serves notable clients like Maruti Suzuki and Tata Motors. The partnership with LATL is set to enhance their offerings and innovation in sustainable automotive technologies. The existing management team, led by MD and CEO Akshay Kashyap, will continue to steer Greenfuel's operations.

(With inputs from agencies.)