Solar Industries to Acquire Sivasakthi Industrial Explosives for ₹115 Crore, Expands Manufacturing Business

Solar Industries India Limited, one of India’s leading industrial explosives and defence manufacturing companies, has announced the proposed acquisition of 100% equity in Sivasakthi Industrial Explosives Private Limited for ₹115.02 crore. The acquisition will be undertaken through Solar Explochem Limited, a wholly owned subsidiary of Solar Industries, as part of the group’s continuing expansion in the industrial explosives sector.

The company signed a Share Purchase Agreement on October 15, 2026, and informed the National Stock Exchange of India and BSE Limited through a regulatory disclosure issued the same day. The transaction involves an all-cash consideration and is expected to be completed within 12 months.

The proposed acquisition will expand Solar Industries’ presence in the industrial explosives industry, which supplies essential materials for mining, quarrying, infrastructure development and other industrial applications. It also reflects the company’s strategy of strengthening its manufacturing operations through investments and acquisitions.

Solar Explochem to Acquire Complete Ownership of Sivasakthi Industrial Explosives

Solar Explochem Limited has entered into a Share Purchase Agreement to acquire the entire issued and paid-up equity share capital of Sivasakthi Industrial Explosives Private Limited. Upon completion of the transaction, Sivasakthi will become a wholly owned subsidiary within the Solar Industries group.

According to the company’s October 15 stock-exchange disclosure, the total acquisition consideration amounts to ₹115.02 crore, payable entirely in cash. Solar Industries expects to complete the transaction within 12 months, subject to the terms and conditions agreed between the parties.

The acquisition forms part of Solar Industries’ efforts to expand its core explosives business and strengthen its presence in the industrial manufacturing sector. By bringing another explosives manufacturer into its corporate structure, the company is pursuing opportunities to broaden its industrial operations and enhance its participation in the domestic explosives market.

Solar Industries confirmed that the proposed acquisition does not constitute a related-party transaction. The company also stated that its promoters and promoter group have no interest in the entity being acquired.

Sivasakthi Industrial Explosives Operates in Mining and Industrial Explosives

Sivasakthi Industrial Explosives Private Limited was incorporated in India in 2008 and operates in the manufacture, production, processing, supply, distribution and trading of explosives for industrial applications.

The company serves an industry that supports several important economic activities, including mining, quarrying and infrastructure construction. Industrial explosives are widely used in controlled blasting operations to extract minerals, remove rock formations and prepare sites for large engineering projects.

Mining companies depend on reliable supplies of explosives to conduct extraction operations efficiently. These materials are particularly important in open-cast mining, underground mineral extraction and quarrying activities, where controlled blasting helps break rock formations for subsequent excavation and processing.

India’s continued investment in mining, mineral exploration, transportation infrastructure and industrial development supports demand for specialised explosives and associated blasting technologies.

Sivasakthi’s established presence in this industry makes it a relevant addition to Solar Industries’ existing business portfolio. The proposed acquisition brings together enterprises operating within the same industrial segment and supports the group’s broader manufacturing expansion.

Solar Industries Strengthens Its Core Explosives Business

Solar Industries India Limited has developed a substantial presence in the manufacture and supply of industrial explosives, explosive accessories and related technologies. Established in 1995 and headquartered in Nagpur, Maharashtra, the company has expanded from domestic industrial explosives manufacturing into international markets and specialised defence production.

The company’s industrial explosives business serves mining, infrastructure and construction industries, supplying products used in controlled blasting and mineral extraction. Its operations support sectors such as coal mining, metal mining, quarrying, cement manufacturing and major infrastructure development.

Industrial explosives form an important component of India’s mining industry, where efficient excavation and mineral extraction depend on specialised blasting materials and technologies. The availability of domestically manufactured explosives also contributes to operational continuity across mining and infrastructure projects.

Solar Industries has progressively expanded its manufacturing operations and product portfolio through organic growth, investments and acquisitions. Its established technical capabilities, manufacturing infrastructure and distribution networks provide a foundation for integrating additional businesses operating within the explosives industry.

The acquisition of Sivasakthi Industrial Explosives represents another step in this expansion strategy, strengthening the group’s participation in its established industrial business.

Industrial Explosives Support India’s Mining and Infrastructure Development

The industrial explosives sector plays an important role in supporting India’s mineral production and infrastructure development. Explosives are essential for extracting coal, iron ore, limestone and other minerals from geological formations that require controlled blasting.

Coal mining operations use explosives to remove overburden and access mineral deposits, while metal mining companies employ blasting technologies to extract ores from open-cast and underground mines. Quarrying operations similarly depend on controlled explosions to produce stone aggregates and other construction materials.

Infrastructure development also requires specialised blasting solutions for projects involving tunnels, roads, railways, hydropower facilities and other major engineering works. These activities demand reliable products manufactured according to established technical specifications and safety requirements.

As India expands domestic mineral production and develops new infrastructure, the industrial explosives industry remains an important supplier to mining and engineering enterprises.

Companies operating in this sector contribute to the broader industrial supply chain by supporting the extraction of raw materials required for steel production, cement manufacturing, power generation and infrastructure construction.

Solar Industries’ proposed acquisition of Sivasakthi Industrial Explosives strengthens its involvement in an industry closely connected with India’s manufacturing and infrastructure growth.

Solar Industries Expands from Industrial Explosives into Defence Manufacturing

Alongside its established industrial explosives business, Solar Industries has developed capabilities in ammunition, explosives and specialised defence technologies through its defence manufacturing operations.

The company has invested in indigenous production capabilities serving the requirements of the Indian Armed Forces and other defence customers. Its defence portfolio includes ammunition and specialised explosive products manufactured through dedicated group entities.

Solar Industries’ diversification into defence manufacturing demonstrates how expertise developed in industrial explosives can support the creation of advanced manufacturing capabilities in related strategic sectors.

The company has also expanded its international presence through overseas operations and investments, establishing itself as an Indian manufacturer serving both domestic and international markets.

The proposed Sivasakthi acquisition specifically concerns the industrial explosives business. Nevertheless, the expansion complements Solar Industries’ broader manufacturing activities by strengthening a core industrial segment within its diversified operations.

The company’s continuing investment in manufacturing and technology development also aligns with India’s efforts to strengthen domestic industrial capabilities under the Make in India initiative.

Acquisition Forms Part of Solar Industries’ Manufacturing Expansion Strategy

The ₹115.02 crore acquisition agreement demonstrates Solar Industries’ continuing focus on expanding its industrial operations through corporate investments.

Acquisitions provide established manufacturers with opportunities to broaden their operational presence, incorporate complementary businesses and strengthen participation in existing markets. Such transactions can support long-term industrial expansion by bringing together manufacturing experience, established operations and sector-specific capabilities.

Solar Industries has developed an extensive presence in explosives manufacturing and related technologies. Its acquisition of Sivasakthi Industrial Explosives will add another company operating in the production and supply of materials used across mining and industrial applications.

The transaction also reflects the growing participation of Indian manufacturing companies in mergers and acquisitions aimed at strengthening their domestic business portfolios.

Solar Industries disclosed the proposed transaction under Regulation 30 of the Securities and Exchange Board of India’s Listing Obligations and Disclosure Requirements Regulations, 2015. The disclosure provides the formal basis for the acquisition announcement and confirms the financial consideration, ownership structure and expected completion period.

Solar Industries Advances Domestic Industrial Manufacturing

Solar Industries’ proposed acquisition of Sivasakthi Industrial Explosives for ₹115.02 crore represents a further expansion of the Nagpur-based manufacturer’s industrial explosives business.

The agreement brings together two Indian companies operating in a sector that supports mining, mineral extraction, construction and infrastructure development. Through its wholly owned subsidiary Solar Explochem, Solar Industries will acquire complete ownership of Sivasakthi following completion of the transaction.

The acquisition complements Solar Industries’ established manufacturing capabilities and its continuing expansion across industrial explosives and specialised defence technologies.

With the Share Purchase Agreement signed on October 15, 2026, the company has initiated a transaction that will strengthen its corporate presence in the domestic explosives industry.

The development reflects the continuing growth and consolidation of India’s industrial manufacturing sector, with established enterprises expanding their operations to support the country’s mining, infrastructure and industrial requirements.

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References

1. Solar Industries India Limited – Official Stock Exchange Disclosure, October 15, 2026: Acquisition of Sivasakthi Industrial Explosives Private Limited – Regulation 30 Filing — Reproduces the company’s official NSE disclosure, including the Share Purchase Agreement and acquisition details.
2. BSE Limited – Corporate Announcements, October 15, 2026: Solar Industries India Limited – Acquisition Disclosure — Index of official BSE filings for Solar Industries.
3. Solar Industries India Limited: Official Corporate Website — Company operations, industrial explosives manufacturing and defence business information.

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