Varun Beverages Taps Solar Power from Two Renewable Energy Firms

Varun Beverages, a beverage company, is gearing up to go green with solar energy. The company has revealed plans to harness solar power for its facility in Supa Parner, Sakri, District Dhule, Maharashtra.

Varun Beverages, known for operating PepsiCo franchises, manufactures and distributes a wide range of carbonated soft drinks and non-carbonated beverages, including packaged drinking water under PepsiCo trademarks. With this shift toward solar power, Varun Beverages is aligning itself with sustainable energy practices, a move that’s becoming increasingly important in today’s environmental landscape.

In a recent move, Varun Beverages announced its investment of Rs 2.90 crore for a 14% equity stake in Huoban Energy 11 Private Limited. This special purpose entity is dedicated to providing solar power solutions to consumers in Maharashtra. Additionally, Varun Beverages will pump Rs 2.24 crore into Aspirative Creative Ventures Private Limited, securing up to 14% equity share capital. This entity focuses on supplying solar energy to consumers in Uttar Pradesh.

“Varun Beverages intends to obtain solar power (generation and supply) from the company for its facility located in Supa Parner, Sakri, District Dhule, Maharashtra. Solar power is environment friendly and will also reduce the power cost at the said facilities.”

Varun Beverages via Business Today

Following this announcement, Varun Beverages’ shares saw a slight dip, ending at Rs 1423.65 on Wednesday, compared to the previous close of Rs 1434.90 on BSE. The company’s market capitalization stood at Rs 1.84 lakh crore on BSE.

The transaction is slated for completion by Oct. 9, 2024. Varun Beverages aims to leverage solar power not only for environmental benefits but also to cut down on power costs at its facilities.

Huoban Energy 11 Private Limited and Aspirative Creative Ventures Private Limited are both specialized entities established under the Companies Act, 2013, with a primary focus on developing green energy projects in India.