Shares of a renewable energy company recovered from its intraday low of ₹ 24.50 apiece after gaining 4 percent. Its shares were trading at ₹ 25.50 apiece at 12:04 PM on Friday.
India’s largest renewable energy provider, Suzlon Energy informed the exchanges that it has secured an order from BrightNight, a global renewable power producer, for the development of a 29.4 MW of wind installed capacity for 100 MW co‐located wind‐solar hybrid project of BrightNight.
Suzlon will install 14 units of their S120 – 140m wind turbine generators (WTGs) with a Hybrid Lattice Tubular (HLT) tower and a rated capacity of 2.1 MW each at Osmanabad in Maharashtra. The project is expected to be commissioned in phases, beginning in April 2024. The scope of the project includes supply, installation, commissioning and post-commissioning operation and maintenance services.
“We are happy to announce our first order with ‘BrightNight’, a global renewable energy Independent Power Producer (IPP) with a rapidly growing footprint in India.,” said JP Chalasani, Chief Executive Officer, Suzlon Group.
Suzlon Energy Ltd manufactures wind turbine generators and related components of various capacities. It operates across 17 countries across the globe. Its services include operations and maintenance, optimization and digitalization, value-added services and products and multi brand operations and maintenance services.
With a market capitalization of ₹ 34,310 crores, Suzlon Energy is a mid-cap company. It has an ideal return on equity of 19.36 percent but a high debt-to-equity ratio of 1.76. Its shares were trading at a price-to-earnings ratio (P/E) of 67.08, which is lower than the industry P/E of 68.59, indicating that the stock might be undervalued as compared to its peers.
As per its latest shareholding pattern, retail investors hold a 72.80 percent stake, promoters with 14.50 percent, foreign institutions with 6.81 percent domestic institutions with 5.15 percent, and mutual funds with 0.74 percent.
Written by Simran Bafna
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