Last Updated: September 11, 2023, 11:47 IST
SJVN share price rallied 10.5 per cent to hit a 52-week high of Rs 70.7 in Monday’s trade on BSE after the company’s subsidiary SJVN Green Energy (SGEL) signed a power purchase agreement with Bhakra Beas Management Board (BBMB) to develop an 18 MW solar power project.
SJVN Green Energy will develop the project on the land parcels of BBMB in Himachal Pradesh and Punjab. It is scheduled to be commissioned by August 2024.
The project has been secured through open competitive bidding at a tariff of Rs 2.63 in the e-reverse auction organized by Punjab Energy Development Agency, the company said.
The project will generate 39.42 million units of energy in the first year of operation and the cumulative energy generation over a period of 25 years would be about 917 million units, it added.
SJVN plans to install over 10,000 MW renewable energy capacity in three years while progressing towards its shared vision of becoming a company of 25000 MW by 2030 and 50000 MW by 2040, the company said.
As per Trendlyne data, the average target price of the stock is Rs 55, a downside of 22 per cent from the current market prices. The consensus recommendation from 4 analysts for the stock is a ‘Buy’.
India Ratings & Research has affirmed the AA+ rating with a ‘stable’ outlook on unsecured, rated, listed, redeemable non-convertible debentures issued by the company.