Refex Green Mobility & Gensol Engineering Clarify EV Asset Sale Status; 10:1 Stock Split Ahead

Both Refex Green Mobility Limited (RGML) and Gensol Engineering Limited (Gensol) have responded to the media's reports on Gensol planning to sell Refex Green Mobility Limited 2,997 electric vehicle (EV) assets. The companies confirmed that the transaction is still under discussion but is further complicated by issues such as non-receipt of regulatory approvals and financial due diligence, as well as other pending terms of the agreement.

This EV asset handover, which was previously negotiated as part of a strategic partnership, is now in the process of undergoing full-scope financial, legal, and operational due diligence. To this end, Gensol has provided full support in the form of available documents and explanations. For the time being, Gensol will retain ownership of the assets, and they will continue to operate on the BluSmart platform until the required approvals have been finalized and the process closed.

Gensol's Board has also approved the restructuring of tradable stock into a 10:1 split, which will consolidate 10 shares of nominal value Rs 10 each into a single share with a nominal value of Rs 1. This will increase trading activity while making it easier for retail investors to participate in the market. The record date for this upcoming split will be set in the near future.

Gensol disclosed impressive financial results for Q3FY25, including net sales of Rs 345 crore, which showed a year-over-year increase of 30%, and a net profit of Rs 18 crore, which increased by 6%. For the nine month period of 9MFY25, net sales for Gensol were Rs 1,056 crore, which is a growth of 42% year on year, EBITDA was Rs 246 crore showcasing a growth of 89%, and net profit stood at Rs 67 crore, increasing by 34%.

For FY24, Gensol's performance remained stellar on an annual basis while net sales were reported at Rs 963 crore marking a jump of 142% and net profit increased by 129% amounting to Rs 53.5 crore compared to FY23. The company, as of December 31st, 2024 had an order book of Rs 7,000 crore and a market capitalization of Rs 776 crore.

Despite trading 82 per cent lower than its 52-week high of Rs 1,125.75, Gensol has delivered over 900% multibagger returns in the last five years. The company has a 52.1% CAGR profit growth, a PE ratio of 9x and has reported 20% ROE.

Gensol, founded in 2012, is a leader in renewable energy and electric mobility, offering solar EPC services, EV leasing, and manufacturing. It employs over 500 professionals and has completed over 770 MW of solar projects, giving Gensol the position of market leader. Apart from this, Gensol is also reaching into the new fields of battery storage and green hydrogen.