The shares of one of India’s leading independent renewable energy power producers came into focus after the company announced the signing of a Power Purchase Agreement (PPA) with NHPC Limited for the 680 MW FDRE Project.
Price Action
With a market capitalization of Rs 10,268.34 crore, ACME Solar Holdings Ltd surged 4.7 percent in Tuesday’s trading session and made an intraday high of Rs 189.30 per share compared to its previous closing price of Rs 180.75 per share. The stock reiterated from its day’s high and was trading at Rs 172.20 which is 4.7 percent lower than the previous closing price.
What Happened
ACME Solar Holdings Limited has signed a Power Purchase Agreement (PPA) with NHPC Limited for a 680 MW Firm & Dispatchable Renewable Energy (FDRE) project. The project, which is awarded under NHPC’s 1400 MW FDRE tender, will span Gujarat, Madhya Pradesh, Karnataka, and Rajasthan.
This project integrates solar, wind, and battery storage technologies to ensure efficiency along with sustainability. With a guaranteed annual Capacity Utilization Factor (CUF) of 40 percent and a 90 percent peak-hour compliance requirement, it aims to significantly reduce greenhouse gas emissions. This initiative emphasises ACME Solar’s journey towards advancing India’s clean energy goals.
Company Overview
ACME Solar Holdings Limited is one of India’s leading renewable energy Independent Power Producers (IPPs). It is one of the top 10 renewable energy independent power producers in the country with an operational capacity of 2,540 MW and under construction capacity of 4,430 MW.
The Capacity Utilization Factor (CUF%) has increased 5.5 percent year on year from 23.3 percent to 24.6 percent in H1 FY25. A total of 1,350 MW capacity has been won in FY25 so far across various categories, in addition to the existing 2,850 MW UC projects, thus bringing the total contracted portfolio to 6,720 MW.
The company’s revenue from operations went down 19.5 percent year on year to Rs 260 crore in H1 FY25. This was accompanied by a 61 percent decrease in net profits to Rs 15 crore in H1 FY25. In terms of liquidity, the company has a debt-to-equity ratio of 5.46.
Written by Shwetha Sairam
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