Reliance Industries expands new energy presence with SenseHawk deal

"SenseHawk, along with the other investments of the company in New Energy, will be synergistic and create unique solutions with higher value to customers," Reliance Industries said in an exchange filing.

Subject to regulatory and other customary closing conditions, the deal is expected to close by the end of the year.

"In collaboration with SenseHawk, we will drive down costs, enhance productivity and improve on-time performance to deliver the lowest LCoE (levelised cost of electricity) for solar projects globally and make solar energy the go-to source of power in lockstep with our vision for solar energy," Mukesh D. Ambani, chairman and managing director of Reliance Industries, was quoted as saying.

Reliance Industries is establishing a fully integrated New Energy manufacturing ecosystem in Jamnagar, for which it has committed an investment of Rs 75,000 crore. The company is building four new Giga factories, one each for photovoltaic panels, energy storage, Green Hydrogen, and fuel cell system. It also announced a new Giga factory for Power Electronics at its AGM last week.

Morgan Stanley expects the new energy business to contribute $1 billion to Reliance Industries' EBITDA by 2027. Known for its organic growth stance earlier, Reliance Industries has invested $4 billion across sectors for its inorganic growth push so far, according to Morgan Stanley.

The firm also highlighted Reliance as its top pick and also upped its price target to Rs 3,085 from Rs 3,015 earlier.

Shares of Reliance Industries are up 7% for the year.

Reliance is set to take on HUL, ITC and others in everyday items – here’s what it may take to disrupt the space

Disclosure: Network18, the parent company of CNBCTV18.com, is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.