Servotech Renewable Power System has announced that its subsidiary, Hertz and Pixelz, has entered into an agreement to acquire the business operations of Hertz & Pixelz, a leading entertainment and events firm. The move reflects Servotech’s ambition to broaden its business portfolio beyond renewable energy and electric vehicle (EV) charging solutions.
Entering High-Growth Events Industry
Under the deal, Servotech’s holding in its subsidiary will reduce from 100% to 51%, giving it a majority stake while allowing operational independence. This restructuring brings industry expertise and resources into the fold, strengthening Servotech’s sports, events and entertainment vertical.
Hertz & Pixelz has a reputation for large scale productions having managed events like G20 Summit, Ed Sheeran’s India tour, and various government showcases. Its inventory of premium audio systems, LED displays, projectors and lighting rigs makes it one of the most resourceful players in the domestic events space.
Strategic Fit
For Servotech, this is not just diversification — it’s entering a cash generating business with scalable growth. The events industry in India has seen strong demand from corporates, governments and international performers. Servotech can now leverage Hertz & Pixelz’s infrastructure to scale up in this space.
The company already organizes large scale sports and cultural events through its subsidiary which requires recurring investment in rentals and services. Hertz & Pixelz’s established presence in corporate and political event management complements this, reducing dependency on external vendors.
Management’s View
Servotech’s Founder and Managing Director, Raman Bhatia said the acquisition was in line with the company’s philosophy of building ecosystems that thrive on innovation and creativity.
“With their proven expertise and legacy of delivering iconic events, we are confident this will allow us to deliver extraordinary entertainment experiences and set new benchmarks in the industry,” Bhatia said.
Investor Implications
- Diversification: Servotech reduces exposure to policy driven EV and renewable markets by entering the events space.
- Brand Visibility: Involvement in high profile entertainment and political events will strengthen Servotech’s brand equity.
- Revenue Potential: The acquisition adds a rental based income model to Servotech’s portfolio.
- Control Retained: Despite dilution, the company retains a majority stake, so strategic control over the subsidiary.Experts say while diversification offers growth opportunities, it also brings execution risk. Managing businesses across two completely different sectors — renewable energy and entertainment — will be a test of Servotech’s operational acumen.
Conclusion
The acquisition of Hertz & Pixelz is a big step in Servotech’s transition from a renewable power company to a diversified company. By combining its existing event management capabilities with Hertz & Pixelz’s resources, Servotech is gearing up to capture opportunities in a fast growing, experience driven industry.
Servotech is expanding its horizons but the market will watch how well it balances energy innovation with entertainment expansion. For more details related to IPO GMP, SEBI IPO Approval, and Live Subscription stay tuned to IPO Central.