Thermax takes 51% stake in Exactspace Technologies for ₹30 crore, gains AI-IoT capabilities – CNBC TV18

Energy and environment solution provider Thermax Ltd on Friday (February 27) said it has entered into a share subscription and share purchase agreement and a Shareholders’ Agreement with Exactspace Technologies Private Ltd, its promoters, and existing investors to acquire 35.83% additional stake, taking its total shareholding to 51% on a fully diluted basis.

The transaction will result in Exactspace becoming a subsidiary of Thermax. Currently, Thermax holds 15.17% in Exactspace as an associate company. The agreements also provide Thermax the right to acquire the remaining 49% stake after three years, subject to the conditions mentioned in the agreements. The acquisition is a related party transaction, and the promoter/promoter group has no interest in Exactspace.

Exactspace operates in the IT industry, developing Artificial Intelligence-based Industrial Internet of Things solutions for Thermax’s manufacturing customers. The acquisition aims to strengthen Thermax’s service offerings, including predictive asset maintenance, process optimisation, asset efficiency improvement, and analytics-driven failure analysis.

Also Read: Thermax targets double-digit revenue growth in FY26

The acquisition does not require any governmental or regulatory approvals. The 51% stake will be acquired for ₹30.48 crore in cash, subject to transaction adjustments, with the remaining 49% to be acquired after three years.

Exactspace Technologies was incorporated on December 14, 2017. Its turnover over the last three years has been ₹6.21 crore (FY25), ₹5.51 crore (FY24), and ₹5.52 crore (FY23).

Third Quarter Results

Net profit for the quarter stood at ₹205 crore, significantly higher than the CNBC-TV18 poll estimate of ₹153.4 crore and up 80% year-on-year. Revenue rose 4.2% year-on-year to ₹2,634 crore, marginally lower than estimates of ₹2,726 crore. EBITDA increased 34.5% year-on-year to ₹254.3 crore, beating expectations, while EBITDA margin improved sharply to 9.7% from 7.5% a year ago.

Also Read: Thermax shares fall 4% after weak Q2; profit, margins miss estimates

During the quarter, exceptional items boosted profit before tax by ₹59 crore. This included the reversal of a previously recognised provision of ₹51 crore and interest income of ₹29 crore following a Bombay High Court order directing a customer to refund deposits along with interest. This was partly offset by a one-time impact of ₹21 crore arising from changes in labour codes.

Thermax also reported healthy order momentum. Order booking during the quarter rose 34% year-on-year to ₹3,080 crore. As of December 31, 2025, the order balance stood at ₹12,641 crore, up 11% from the corresponding period last year.

Shares of Thermax Limited ended at ₹3,110.00, down by ₹66.95, or 2.11%, on the BSE.

Also Read: Thermax shares jump 5% as Kotak upgrades, calls recent correction a buying opportunity

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