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Auto ancillary stock jumps 3% after it acquires majority stake in Greenfuel Energy Solutions to foray into the green fuels segment

Automotive systems supplier has acquired a 60% stake in a green fuel solutions provider for INR 153.09 crores, enhancing its position in the growing CNG and hydrogen fuel market.
Auto ancillary stock rises 3% after acquiring majority stake in Greenfuel Energy Solutions for green fuels.
Auto ancillary stock rises 3% after acquiring majority stake in Greenfuel Energy Solutions for green fuels.

Introduction:

Leading automotive systems supplier has acquired a 60% stake in a prominent green fuel solutions provider for INR 153.09 crores. This move strengthens its position in the rapidly growing green and alternate fuels sector, focusing on CNG and hydrogen.

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Share price movement of Lumax Auto Technologies:

On November 27, 2024, Lumax Auto Technologies Ltd. opened at ₹534.75, up 4.33% from its previous close of ₹512.55. The stock reached a high of ₹547.85 and a low of ₹521.00. The stock closed at ₹525.75, reflecting a 2.58% increase. The market cap stands at ₹3,583.39 crore.

Lumax acquires Greenfuel for green fuels:

Lumax Auto Technologies Limited (LATL) has acquired a 60% majority stake in Greenfuel Energy Solutions Pvt Ltd for INR 153.09 crores, marking its entry into the green and alternate fuels sector. The acquisition was funded through debt and internal accruals.

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Greenfuel Energy Solutions is known for supplying high-pressure fuel delivery and storage systems for CNG and hydrogen vehicles, along with fire suppression systems for the automotive industry. The company is a key supplier to leading OEMs like Maruti Suzuki, TATA Motors, and Volvo Eicher.

This strategic acquisition strengthens LATL’s position in the growing green fuel sector, which is expected to see strong growth in the coming years. The move aligns with the company’s vision to diversify and capture opportunities in the CNG, hydrogen, and other fuel applications.

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Recent news on Lumax Auto Technologies:

As of November 22, 2024, Lumax Auto Technologies reported strong Q2 results for September 2024, with net sales rising 9.19% to ₹369.76 crore, net profit increasing 9.04% to ₹23.83 crore, and EBITDA up 11.7% to ₹47.35 crore.

Ace investor holding in Lumax Auto Technologies:

D. Srimathi

D. Srimathi holds a 1.19% stake in Lumax Auto Technologies, owning 813,478 shares valued at ₹42.7 crore. This reflects her significant investment in the company, contributing to her position as a notable shareholder.

Stock performance of Lumax Auto Technologies for Period of 1 week, 6 months and 1 year:

Lumax Auto Technologies has delivered a 0.72% return over the past week, 5.67% over the last six months, and an impressive 32.3% return over the past year, showcasing consistent growth and strong performance in the long run.

Shareholding pattern of Lumax Auto Technologies:

All values in %Sep 2024Jun 2024Mar 2024
Promoter56.00%56.00%56.00%
FII6%7%9.00%
DII16.20%15.90%14.20%
Public22.10%21.20%20.80%
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About the company Lumax Auto Technologies:

Lumax Auto Technologies Ltd (NSE: LUMAXTECH) was incorporated in 1981 and manufactures automotive lamps, plastic molded parts, and frame chassis. The company partners with global players like Yokowo (Japan) and JOPP (Germany) for the automotive segment.

Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.

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