Reliance Industries will acquire a majority stake in US-based software developer SenseHawk Inc for $32 million, in a bid to boost RIL chairman Mukesh Ambani’s solar energy plans. “RIL has today signed definitive agreements to acquire a majority stake in SenseHawk Inc (“SenseHawk”) for a total transaction value of USD 32 million, including funding for future growth, commercial rollout of products, and R&D,” the oil-to-telecom major said in a statement on Tuesday. SenseHawk is a developer of software-based management tools for the solar energy generation industry. The California-based firm helps accelerate solar projects from planning to production by helping companies streamline processes and use automation. Reliance Industries share price jumped more than 1% to Rs 2,598 apiece on BSE after the announcement.
SenseHawk, founded in 2018, helps companies accelerate solar power projects by streamlining processes and automation. The turnover for FY22, FY21 and FY20 was $2,326,369, $1,165,926, and $1,292,063 respectively. “Sensehawk, along with the other investments of the Company in New Energy, will be synergistic and create unique solutions with higher value to customers,” Reliance said in a statement. The transaction is expected to be completed before 2022 end, subject to regulatory and other customary closing conditions, according to the regulatory filing.
Speaking about the acquisition, Mukesh Ambani said, “We welcome SenseHawk and its dynamic team to our family. RIL is committed to revolutionize the Green Energy sector and has a vision to enable 100 GW of solar energy by 2030. In collaboration with SenseHawk, we will drive down costs, enhance productivity and improve on-time performance to deliver the lowest LCoE for solar projects globally and make solar energy the go-to source of power in lockstep with our vision for solar energy. It is a very exciting technology platform and I am confident that, with RIL’s support, SenseHawk will grow multifold.”
“This partnership will open new use cases, help our nascent markets, and offer higher value to customers across the solar lifecycle. We are on a mission to improve the solar energy ecosystem, acquiring 50% of the market by 2025 and with RIL as our partner, we will accelerate on our execution toward that goal,” said Rahul Sankhe, President and Co-Founder, SenseHawk.
Mukesh Ambani’s solar energy plan
Reliance plans on establishing 20 GW of solar energy generation capacity by 2025. “Once proven at scale, we are prepared to double the investment to scale up our manufacturing ecosystem,” Ambani said at Reliance Industries’ 45th Annual General Meeting held last month. Earlier in 2021, Mukesh Ambani had announced the setting up of the Dhirubhai Ambani Green Energy Giga Complex in Jamnagar and enabling at least 100 GW of solar energy by 2030. The company aims to establish four Giga Factories, one each for photovoltaic panels, energy storage, Green Hydrogen, and fuel cell system. This will be part of the company’s efforts to establish a fully integrated New Energy manufacturing ecosystem in Jamnagar, for which it has committed an investment of Rs 75,000 crore.
In an effort to boost its solar energy plan, Reliance’s subsidiary Reliance New Energy Solar Ltd has acquired a 100 per cent stake in solar cell and panel manufacturer REC Solar Holdings for $771 million in October last year. REC is also expanding its 1.2 GW annual module production capacity to 1.8 GW in Singapore. Based on REC’s technology, Reliance’s 10 GW solar PV cell and module factory in Jamnagar will begin production in 2024. The company is targeting to scale up to 20 GW annual capacity in a phased manner by 2026.