Websol Energy System Limited announced that the Board has taken on record a joint venture agreement executed with AMP Energy India Private Limited (AEI) dated August 31, 2022. The Joint Venture shall be incorporated by the Parties to undertake production of up to 1.2 GW of monocrystalline PERC solar cells and up to 1.2 GW of mono PERC modules. Neither the Company nor AEI has any shareholding in each other.

The proposed shareholding in the new joint venture will be Company- 51% and AEI- 49%. It is further agreed that the shareholding of AEI shall at no time exceed 50% on a fully diluted basis. Significant terms of the agreement: Thin capital base and AEI to offtake 50% of the production; 50% production to be sold in the market.

In case of issuance of shares to the parties, details of issue price, class of shares issued: 20,000 equity shares each with a par value of INR 10 and will be issued amongst the Company and AEI. The Issue Price shall be fair value as per the applicable law. The Joint Venture's Board of Directors shall comprise of 5 Directors.

Both Company and AEI shall be entitled to nominate and appoint 2 Directors each on the Board of Directors of Joint Venture. The Joint Venture shall have 1 Independent Director /CEO, subject to other conditions defined in the Joint Venture Agreement. No potential conflict of interest will arise out of this agreement.

Subsequent details on termination or amendment of agreement will be promptly brought to the notice of both National Stock Exchange of India Limited and BSE Limited.