Kinetic Engineering Invests ₹5 Crore in Its Subsidiary KWVL

Key Highlights:

• Kinetic Engineering Limited invested ₹5 crore in its subsidiary KWVL by purchasing 50 lakh equity shares.
• KEL's stake in KWVL increased from 61.63% to 66.11% after the investment.
• KWVL, formed in September 2022, currently has no revenue but is focused on mobility technologies.
• The investment was made in cash and did not require regulatory approvals.
• KEL aims to strengthen its position in the automobile sector through this strategic move.

Kinetic Engineering Limited (KEL) has invested ₹5 crore in its subsidiary, Kinetic Watts and Volts Limited (KWVL). This investment was made through the purchase of 50 lakh equity shares, each priced at ₹10. The transaction took place on April 9, 2025. The announcement was officially made in a regulatory filing submitted to the Bombay Stock Exchange (BSE). With this move, KEL’s shareholding in KWVL has grown from 61.63% to 66.11%. 

The investment is classified as a related party transaction. However, KEL confirmed that it was conducted fairly and transparently. The total authorized capital of KWVL is ₹50 crore, while the paid-up capital has reached ₹42.83 crore after this transaction.

KEL stated that the funds were invested in cash and did not need any special approval from regulatory bodies. The company believes this step aligns with its long-term business strategy. The company hopes to use this expansion to strengthen its presence in the evolving automobile space. Although still a young company, it holds promise. It has been set up to explore advanced mobility technologies and contribute to KEL’s vision for the future. The absence of revenue is seen as a normal phase for a newly established entity focused on development and innovation.

About Kinetic Watts and Volts Limited

KWVL was formed on September 27, 2022, under the Companies Act of 2013. Although the company has not yet generated any revenue, it is expected to play a key role in KEL’s future automotive plans. KWVL currently operates in the automobile industry and aims to grow in the mobility technology segment.

About Kinetic Engineering Limited

Kinetic Engineering Limited is a well-known automobile company based in Pune, Maharashtra. It was established in 1970 and started by producing mopeds and two-wheelers. Over time, the company shifted its focus to manufacturing automotive components and assemblies.

Today, KEL specializes in engine parts, transmission systems, and other vehicle-related components. The company serves both Indian and global markets and operates a production unit in Ahmednagar, Maharashtra. KEL is listed on the Bombay Stock Exchange and continues to invest in new ventures to expand its footprint. Its goal is to explore growth in both the mobility and engineering sectors through strategic investments like this one in KWVL.

Also Read: Kinetic Group Enters into EV Battery Manufacturing with Rs 50 Crore Facility

CMV360 Says

This investment shows that Kinetic Engineering is serious about innovation in the automobile sector. Even though KWVL is still new and not yet earning, the increased support from KEL shows strong confidence in its future. It's a clear move to stay competitive in the changing world of mobility.