Shares of Suzlon Energy locked in 5 per cent upper circuit at Rs 69.57 per share on the BSE in Wednesday’s trading session. The stock price jump followed an acquisition done by the company on Tuesday worth Rs 620 crore.
The company has signed definitive agreements to acquire a 76 per cent stake in Renom Energy Services Private Limited from the Sanjay Ghodawat Group (SGG). The acquisition will occur in two stages.
In the first stage, Suzlon will acquire a 51 per cent stake for Rs 400 crore. The second stage involves acquiring an additional 25 per cent stake within the next 18 months for Rs 260 crore.
Renom Energy Services is a leading multi-brand operations and maintenance services (MBOMS) provider in India, managing assets including 1,782 mega watts (MW) in wind, 148 MW in solar, and 572 MW in balance of plant across various customer segments.
Suzlon stated that this acquisition will enhance Renom’s capabilities, positioning it to become a leading independent service provider (ISP) and steward of multi-brand renewable energy assets. The deal will also allow Renom to tap into the substantial market potential of over 32 GW of non-Suzlon wind energy assets currently in the country, the company said in an exchange filing.
Girish Tanti, Vice Chairman of Suzlon Group, commented, “As India aims for 500 GW of renewable energy installations by 2030, a diverse range of technologies and wind turbines will emerge. Renom, as a major player in this sector, has significant potential to expand further. This acquisition supports Suzlon Group’s strategy to grow while protecting India’s renewable energy assets, regardless of their origin.”
The market capitalisation of Suzlon Energy is Rs 94,854 crore, according to the BSE. At 12:57 PM; the BSE Sensex surged by 0.73 per cent to 79,167 levels.
Suzlon is a leading global renewable energy solutions provider with over two decades in the industry. It operates in 17 countries across six continents and has installed over 19.1 GW of wind energy. The company owns various subsidiaries, including Suzlon Energy Limited, and is focusing on carbon-neutral processes, strong solar power capabilities, and plans to offer Wind-Solar hybrid solutions.
First Published: Aug 07 2024 | 1:08 PM IST
