Synopsis: A non-banking finance company will invest Rs. 350 crore under a consortium-led insolvency resolution of a Renewable Energy Company, focusing on acquiring select real estate and non-core assets through a distressed-asset value strategy.
A mid-cap company that is involved in the business of fund-based activities viz, investment in shares, securities, mutual funds and providing loans and advances; has come into focus after investing in a renewable energy company.
With the market capitalization of Rs. 43,013.27 crore, the shares of Authum Investment & Infrastructure Limited were trading at Rs. 506.50, down by 0.24 percent from its previous day’s close price of Rs. 507.70 per equity share.
What’s the Deal?
Authum Investment & Infrastructure Limited, as part of a consortium led by Inox Neo Energies Limited, has been declared the Successful Resolution Applicant for Wind World (India) Limited (WWIL), which has been undergoing insolvency proceedings since 2018. The Committee of Creditors has approved the resolution plan and issued a Letter of Intent, subject to final approval from the NCLT Ahmedabad Bench.
Under the plan, Authum has committed approximately Rs. 350 crore, with the transaction expected to be completed within 60 days of tribunal approval. Importantly, this is not a related-party transaction, making it a structured investment decision rather than a promoter-driven move.
What Is Inox Neo Energies Acquiring?
Under the consortium arrangement, Inox Neo Energies will take over WWIL’s core renewable energy operations. This includes around 550 MW of installed Independent Power Producer (IPP) capacity and an operations and maintenance (O&M) portfolio of approximately 4.5 GW. Through this acquisition, Inox Neo strengthened its renewable energy footprint by expanding both generation capacity and long-term service operations, positioning itself as the operational driver of the revived business.
What Is Authum Acquiring?
Authum is not acquiring the renewable energy generation business. Instead, it will take control of certain identified real estate and other select assets belonging to WWIL. The focus is on asset ownership rather than operating wind power projects. The resolution plan also provides an option for potential future debt or equity infusion, if mutually agreed upon during implementation, giving Authum flexibility in capital structuring.
Why Is Authum Making This Move?
Authum’s Rs. 350 crore investment appears to be a calculated distressed-asset strategy. Since WWIL has been in insolvency for several years, the assets are likely being acquired at attractive valuations. By focusing on real estate and specific non-operational assets, Authum aims to unlock value through monetisation, redevelopment, or strategic utilisation rather than taking on operational renewable energy risks.
Partnering with a sector-focused player like Inox Neo further reduces execution risk, allowing Authum to participate in the resolution process while concentrating on financial value creation. Overall, this move reflects a structured investment approach aimed at long-term asset appreciation rather than expansion into renewable power operations.
Financials
Authum Investment & Infrastructure Limited is a Mumbai-based non-banking finance company incorporated in 1982. It operates across investment, lending, and rental segments, focusing on trading and investing in listed and unlisted securities while offering diverse credit and financing solutions in India and overseas.
A return on equity (ROE) of about 34.1 percent, a return on capital employed (ROCE) of about 30.8 percent and debt to equity ratio at 0.17 demonstrate the company’s financial position. At the moment, the company’s P/E ratio is 11.7x lower as compared to its industry P/E 18x.
In Q3FY26, the company reported revenue of Rs. 446 crore, marking a sharp 27.8 percent YoY decline from Rs. 618 crore in Q3FY25 and a 25.0 percent QoQ fall from Rs. 595 crore in Q2FY26, reflecting significant top-line pressure.
EBITDA stood at Rs. 288 crore, down 53.5 percent YoY compared to Rs. 619 crore and 46.1 percent QoQ versus Rs. 534 crore, indicating substantial operating contraction. Profit after tax came in at Rs. 168 crore, plunging 69.2 percent YoY from Rs. 545 crore and 78.0 percent QoQ from Rs. 765 crore, highlighting a steep earnings correction both sequentially and annually.
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