Multibagger in six months: SJVN secures Letter of Intent for solar energy sale to Uttarakhand Power

Today, the shares of SJVN Limited soared over O.47%. The company’s current market capitalization stands at Rs 30,204.41 crore.

With a price below Rs 100, SJVN presents an affordable investment opportunity for investors interested in the power generation sector. This affordability factor may attract investors looking to diversify their portfolio at a reasonable cost.

SJVN (Satluj Jal Vidyut Nigam) operates primarily in the field of electricity generation. The company’s core business revolves around the generation of electrical power. Additionally, SJVN extends its services into the domain of hydro-power projects by offering consultancy and expertise in this sector.

In recent development, Uttarakhand Power Corporation Limited (UPCL) has expressed its intent to procure 200 MW of power at a tariff rate of Rs 2.57 per unit from SJVN’s 1,000 MW Bikaner Solar Project.

This project will be executed in compliance with the power purchase agreement signed between SJVN Green Energy and Uttarakhand Power. The project, developed through SJVN Green Energy Ltd., has received viability gap funding support from the Union government. The power generated from this project will be utilized by government entities or distributed through companies specified in the filings.

This initiative aligns with the power purchase agreement between SJVN Green Energy and Uttarakhand Power, aiming to fulfil renewable purchase obligation targets and address power deficits.

Furthermore, SJVN Green Energy Ltd., a wholly-owned subsidiary of SJVN Ltd., recently entered into a Memorandum of Understanding (MoU) with Ocean Sun, Norway. This collaboration is focused on exploring new technologies in the green and clean energy sector, as indicated in a BSE filing.

This development signifies another step in India’s efforts to harness solar power for sustainable energy generation and expand its renewable energy capacity.

Furthermore, the stock has witnessed significant buying activity as it has given multibagger returns of more than 102% in just 6 months.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet, and is subject to changes. Please consult an expert before making related decisions.