1:5 stock split & 1:1 bonus share: Government of Odisha approves fiscal support for Phase 1 of small-cap company’s Silicon Carbide (SiC) semiconductor plant in Bhubaneswar

The Government of Odisha's Electronics & Information Technology Department has approved fiscal support for Phase 1 of RIR Power Electronics Limited's Silicon Carbide (SiC) semiconductor manufacturing facility in Bhubaneswar. The nodal agency, Odisha Computer Application Center (OCAC), has officially approved and notified the capital subsidy agreement for pro-rata disbursement. This project, with a total cost of approximately ₹618 crore for both Phase 1 and Phase 2, received initial approval from the State-Level Single Window Clearance Committee (SLSWCC) and the state cabinet in the last fiscal year. Currently, RIR Power Electronics has incurred capital expenditure of around Rs 65 crore, making it eligible for a government capital subsidy of approximately Rs 32 crore.

This development marks a crucial step for RIR Power Electronics in becoming a prominent Indian player in high-power semiconductor manufacturing, significantly contributing to the "Make in India" initiative. The new facility will produce high-power SiC MOSFETs, IGBTs, and diodes with voltage ratings ranging from 3.3 kV to 20 kV. These advanced SiC semiconductors are vital for transforming power-based technologies and will serve critical industries such as Electric Vehicles (EVs), renewable energy and power grid systems, power electronics, and industrial automation, thereby boosting local manufacturing capacity and fostering sustainable industrial growth nationwide.

Dr. Harshad Mehta, Chairman & Director, RIR Power Electronics Limited, said, “We extend our sincere gratitude to the Government of Odisha for their forward-thinking support in helping bring this first-of-its-kind SiC semiconductor facility to life. Their backing empowers us to introduce advanced technologies and modern manufacturing capabilities to the state. This development lays a strong foundation for innovation, employment generation, and energy-efficient solutions in electric vehicles, renewables, power electronics, and industrial automation across India.”

About the Company

RIR Power Electronics Limited is a global pioneer in high-power semiconductor solutions, driving innovation and energy efficiency. Its portfolio of high-performance semiconductor devices, assemblies and energy management systems enables customers to address the evolving demands of modern energy systems. The company's innovative products and solutions empower energy performance at the highest level in both existing and emerging applications. Trusted worldwide for reliability and performance, RIR Power stands at the forefront of sustainable energy innovation—powering progress, one breakthrough at a time.

RIR Power Electronics Limited experienced robust financial growth in FY25, driven by strong demand for its power electronics products. Revenue from operations surged by 29.13 per cent year-on-year to Rs 86.21 crore, while Profit After Tax (PAT) reached Rs 8.28 crore, representing a 4.02 per cent increase from the previous year. The fourth quarter of FY25 was particularly strong, with RIR achieving its highest quarterly revenue at Rs 26.46 crore and a PAT of Rs 2.55 crore

RIR Power Electronics Limited (Scrip Code: 517035) undertook a stock split, where each existing share with a face value of Rs 10 was divided into five shares, each with a face value of Rs 2. The record date for split was Friday, July 25, 2025. Prior to this, on Friday, July 11, 2025, the company had issued bonus shares in a 1:1 ratio, with each new share having a paid-up value of Rs 10. RIR Power Electronics has a market capitalisation is over Rs 1,600 crore. The stock gave multibagger returns of 810 per cent in 3 years and a whopping 8,100 per cent in 5 years.

Disclaimer: The article is for informational purposes only and not investment advice.