MRF has announced that it will pick up up to 19.10 per cent stake in First Energy 4 Pvt Ltd, which is engaged in the business of development, construction, operating, and maintaining renewable energy-based power plants in India, for an estimated sum of ₹13.09 crore.
The leading tyre maker has entered into an agreement with First Energy for the purchase of solar power, according to a statement.
Enhancing renewable power supply
“In order to enhance its source of renewable power supply, MRF will acquire and maintain an equity stake (up to 19.10 per cent) in First Energy 4 throughout the term of the power purchase agreement as per the group captive generation mechanism under the Electricity Act,” it said.
First Energy is in the process of developing/constructing a ground-mounted, grid solar electric generating facility at Ottapidaram, Tuticorin District in Tamil Nadu for solar power with a total installed AC capacity of 38.2 MW AC.