Indian Engineering and Precision Equipment Manufacturer SETL Plans to Invest Approximately $52.45 Million in Phases to Acquire Stake in GScale
2026-07-05 16:08
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en.Wedoany.com Reported - Standard Engineering Technology Limited (SETL), a global engineering and precision equipment manufacturer, has proposed acquiring up to a 51% stake in GScale Energy Private Limited (GScale). GScale is a one-stop platform integrating engineering, manufacturing, energy, and consulting services, founded by Indian digital infrastructure veteran Kasu Brahma Reddy.

The first phase investment amounts to approximately INR 1.9 billion (about $19.93 million). This move marks SETL's strategic entry into the rapidly expanding artificial intelligence data center engineering sector. As part of a broader phased plan, SETL has approved a total investment of approximately INR 5 billion (about $52.45 million) for equity acquisition, capacity expansion, and working capital for the combined business, all funded from the company's internal cash flows.

In a press release, SETL Managing Director Nageswara Rao Kandula stated that this investment is a natural evolution of everything SETL has built since 2013. Leveraging its precision and integrated execution capabilities in providing engineering services to pharmaceutical and chemical companies, SETL will now power data centers for the AI revolution. He believes that by combining GScale's domain expertise and Kasu Brahma Reddy's leadership, SETL is creating a platform where GScale delivers complete AI data center solutions from concept to commissioning.

GScale Founder and Director Kasu Brahma Reddy noted that the partnership with SETL is a transformative step for GScale. With SETL's manufacturing scale, financial strength, and engineering depth, GScale is positioned to deliver world-class AI data center engineering solutions for India's next-generation digital infrastructure.

GScale Energy already has approximately 400,000 square feet of operational infrastructure and aims to expand to 1 million square feet by fiscal year 2028 through phased growth. In a LinkedIn post, Kasu Brahma Reddy revealed that GScale's vision extends beyond manufacturing data center infrastructure products; they are building an integrated platform that provides power systems, cooling systems, and modular infrastructure, while offering turnkey engineering, design, and build solutions for AI and hyperscale data centers in India and abroad.

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