10:1 Stock Split: Ashish Kacholia-Backed Solar Energy Stock Jumps After Signing Rs 10,000 Crore MoU in Rising Rajasthan Global Investment Summit 2024
The stock gave multibagger returns of 530 per cent in just 1 year and a whopping 3,460 per cent in 2 years.
On Friday, shares of the solar company gained 3.53 per cent to Rs 4,220.90 per share from its previous closing of Rs 4,077. The stock gave multibagger returns of 530 per cent in just 1 year and a whopping 3,460 per cent in 2 years. The shares of the company saw a spurt in volume by more than 1.40 times on BSE.
The buzzing solar company is INSOLATION ENERGY LTD.
Insolation Energy Ltd. announced that its wholly-owned subsidiary, Insolation Green Energy Private Limited, has signed a Memorandum of Understanding (MoU) with the Government of Rajasthan during the Rising Rajasthan Global Investment Summit 2024. This MoU outlines a significant investment of Rs 10,000 crore towards various solar energy initiatives in Rajasthan by 2030. These initiatives include Independent Power Producer (IPP) projects, component manufacturing, Engineering, Procurement, and Construction (EPC) projects, and solar parks.
Additionally, Chairman Manish Gupta announced the company's significant step towards becoming a top 10 solar energy player. Recent Rs 775 crore order wins signal strong growth and demand. Managing Director Vikas Jain confirmed Phase 1 capex is on track, with 3 GW solar manufacturing and 12,000 MT aluminum plants starting commercial production as scheduled. The state-of-the-art facility, operational by March 2025, will increase solar module capacity to 4 GW. Phase 1 will also add 1.5 GW of solar cell manufacturing before March 2026. Phase 2 expansion aims for 6.5 GW+ solar modules and 3 GW solar cell capacity in the next three years. The company targets USD 1 billion revenue with over 10% PAT margins within this period.
stock split Update: announced a stock split of its equity shares. Each existing share with a face value of Rs 10 will be divided into 10 new shares with a face value of Re 1 each. The company aims to increase liquidity and broaden its shareholder base by making the shares more affordable to retail investors. The stock split is expected to be completed within two months of board approval.
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Furthermore, an ace investor, Ashish Kacholia’s company - Bengal Finance & Investment Pvt Ltd bought 1,21,600 shares via preferential issue for Rs 3287 per share aggregating to approx. Rs 40 crore.
Insolation Energy Ltd, founded in 2015, is a leading manufacturer of high-efficiency solar panels and modules. Based in Jaipur, India, the company operates a 200 MW manufacturing facility and has recently announced plans to expand its capacity to 500 MW through a subsidiary. In addition to manufacturing, Insolation Energy also provides solar power conditioning units, lead-acid batteries, and EPC services. Its major domestic customers include Livguard Energy Technologies Pvt Ltd, Livfast Batteries Pvt Ltd, Shakti Pumps India Ltd, Microtek International Pvt Ltd, Sunroof Tech Pvt Ltd, etc.
The company reported a Revenue of Rs 612.69 crore, a substantial increase of 118 per cent YOY basis. The company’s EBITDA saw a remarkable growth of 172 per cent, rising to Rs 81 crore from Rs 29.75 crore YOY basis. Net profit after tax experienced an extraordinary increase of 307.53 per cent, soaring to Rs 61.27 crore from Rs 15.03 crore YOY basis.
Investors should keep an eye on this solar stock.
Disclaimer: The article is for informational purposes only and not investment advice.