With three promoters—Reliance, Shapoorji Pallonji Group and the Daruvala family—the EPC firm is already treading on thin ice. The prospect of a disagreement or distress sale upsetting the delicate balance is a constant worry for investors.
Sterling & Wilson Renewable Energy is in the best shape it has been in for a while. The engineering, procurement and construction company, which sets up large renewable energy projects, has returned to profitability after 12 straight quarters of losses and is bagging orders for marquee projects.
Yet, despite the hard-fought comeback, there’s something that it hasn’t quite managed to shake off—the overhang of its unique promoter structure and its consequences for both investors and the company itself.
An explanation is in order here. Sterling & Wilson Renewable Energy has three promoter groups: Reliance New Energy (32.5%), Shapoorji Pallonji & …
Azman writes on climate change, ESG, and how a warming world impacts businesses and people alike. Prior to The Morning Context, he led climate coverage at BloombergQuint, where he started his career as a desk writer.
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azman@mailtmc.com
Mumbai