Solved the server issue. Server(processing tool in eclipse) now receives data from client(electron) via a listener thread. For this I created a new class called the ClientHandler class which creates a new thread as soon as it connects to the client and starts listening for client messages in this separate thread.
As Shdr tool has to be started from within the PDE it had to be called from within the processing tool template in java. For this I found a very simple and useful way on this stackoverflow link which uses Java ProcessBuilder class to instantiate an operating system process. The process in my case was the Shdr editor tool application (Shdr.exe) that I generated by electron in the first week. Adding this command in the run function of the HelloTool file would start the Shdr application as a separate process whenever the HelloTool is started from within the PDE.
This is the final output when the HelloTool is called from the PDE.
The work pace this week was relatively slower than last weeks as I had been travelling for 3 days. This would be taken care of in the following week.