HEG Greentech Demerger: Why Madhusudan Kela Is Betting ₹500 Crore On This Pivot

HEG Ltd has formally demerged its green energy division, HEG Greentech, creating a dedicated entity to drive innovation in advanced battery materials, renewable energy, and energy storage solutions. The move is part of a Composite Scheme of Arrangement, separating HEG’s graphite electrode business from its green-tech ambitions.  

Veteran investor Madhusudan Kela has committed ₹500 crore to HEG Greentech, signaling strong confidence in the company’s pivot toward sustainable technologies. HEG Greentech’s roadmap includes ambitious targets such as 30,000+ MT of advanced battery material offtake discussions, renewable energy generation capacity of 2.3 GWp solar, and 5.9 GWh battery energy storage systems (BESS) by FY2030.  

Key Highlights  

• HEG Ltd completes demerger, creating HEG Greentech as a standalone entity  
• Madhusudan Kela invests ₹500 crore in the green-tech pivot  
• Focus areas include advanced battery materials, renewable energy, and energy storage  
• Targets include 2.3 GWp solar and 5.9 GWh BESS capacity by FY2030  
• Demerger allows HEG Ltd to focus solely on graphite electrodes for electric arc furnaces  

Market Outlook  
Analysts view the demerger as a strategic move to unlock value in both businesses. HEG Ltd will continue to dominate the graphite electrode market, while HEG Greentech positions itself at the forefront of India’s clean energy transition. Kela’s investment underscores growing investor confidence in green technologies, with HEG Greentech expected to attract further institutional interest as India accelerates its sustainability agenda.  

Sources: NDTV Profit, HEG Limited Investor Presentation, ScanX News