The shares of a Tata Group company with decades of experience in power generation, transmission, and renewables came under pressure in Thursday’s (July 3) trading session. The stock slipped over 2% after an international tribunal ordered it to pay $490.32 million in damages.
With a market capitalization of Rs 1,28,197 crore on Thursday, shares of Tata Power Company Ltd opened under pressure, falling over 2% in early trade to hit an intraday low of Rs 396.75, down from the previous close of Rs 406.45.
Tata Power Company Ltd, in an exchange filing, said it has been ordered by a Singapore International Arbitration Centre (SIAC) tribunal to pay US $490.32 million to Kleros Capital Partners Ltd.
The award, received after business hours on 1 July 2025, also carries simple interest of 5.33 % from 30 November 2020 until payment, plus US $8.29 million in legal costs with interest at the same rate from 1 July 2025.
The three‑member tribunal reached its decision by a 2:1 majority. The dispute dates back to November 2020 and involves alleged breaches of confidentiality and non‑circumvention clauses linked to a proposed coal‑mining project in Russia; oral hearings ended in February 2024. Tata Power said it is reviewing the award and evaluating all options, including a possible legal challenge, and will disclose further material updates as required.
Tata Power Company Ltd is India’s largest integrated power utility, engaged in the generation, transmission, and distribution of electricity. With a strong focus on sustainability, the company aims to shift entirely to renewable energy in the future.
It currently operates a total generation capacity of around 25.7 GW, including 8.9 GW from thermal sources and 16.8 GW from clean energy (with 9.9 GW under construction). It also manages over 4,600 Ckm of operational transmission lines and has 2,400 Ckm under development.
The company is a key player in India’s green energy push, with 4.9 GW of solar module manufacturing capacity and MoUs signed for 2.8 GW of pumped hydro storage projects. In the EV space, Tata Power has installed over 5,400 public charging points across 600+ cities. It also offers solar rooftop solutions, contributing to India’s shift toward cleaner, smarter energy.
The company reported a revenue of Rs 65,478 crore in FY25, up by 6.56 percent from its FY24 revenue of Rs 61,449 crore. Coming to its profitability, the company reported a net profit rise of 11.56 percent to Rs 4,775 crore in FY25 from Rs 4,280 crore in FY24. The stock delivered an ROE and ROCE of 11 percent and 10.8 percent, respectively.
Written By Rohan Pandey
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