Standard Engineering Technology Limited (SETL), a global engineering and precision equipment manufacturer, has proposed to acquire up to 51 percent stake in GScale Energy Private Limited (GScale), an integrated platform spanning engineering, manufacturing, energy, and advisory services, founded by Indian digital infrastructure veteran Kasu Brahma Reddy.
The Phase I investment will involve approximately ₹190 crore (~ US$ 19.93 million). It marks SETL’s strategic entry into the rapidly expanding AI data center engineering sector. As part of a broader phased program, SETL has approved a total investment of approximately ₹500 Crore (~ US$ 52.45 million) to be deployed across equity acquisition, capacity expansion and working capital for the combined business, entirely self-funded from the Company’s cash flows.
“This investment is the natural evolution of everything SETL has built since 2013. The same precision and integrated execution capability that made us a trusted engineering partner to pharma and chemical companies will now power the data centers driving the AI revolution,” said Nageswara Rao Kandula, Managing Director, Standard Engineering Technology Limited, in a press release. “With GScale’s domain expertise and Mr. Kasu Brahma Reddy’s leadership, we are building a platform to deliver complete, concept-to-commissioning AI data center solutions at GScale.”
Kasu Brahma Reddy, Founder & Director, GScale Energy Private Limited, said, “Joining hands with SETL is a transformative step for GScale. With SETL’s manufacturing scale, financial strength, and engineering depth, we are well positioned to deliver world-class AI Datacenter Engineering solutions for India’s next generation of digital infrastructure.”
GScale Energy already possesses approximately 4 lakh square feet of operational infrastructure, with a target to scale to 10 lakh square feet by FY2028 through phased expansion. In a LinkedIn post, Kasu Brahma Reddy revealed that GSCale’s vision extends beyond manufacturing datacenter infrastructure products. He said that they are building an integrated platform that will deliver power systems, cooling systems and modular infrastructure, while also providing turnkey engineering, design and build solutions for AI and hyperscale data centers – in India and overseas.