5:1 Stock Split: Small-Cap Power Company to Develop Waste Heat Recovery Power Plant in Collaboration with Siemens, Targeting 50,000 MWh of Green Energy Annually!
The company’s shares have delivered an impressive return of over 2,500 per cent to its shareholders in the past 5 years.
Godawari Power & Ispat Limited a Small-Cap company engaged in iron ore mining and the manufacturing of iron ore pellets, sponge iron, steel billets, wire rods, H.B. wire, ferro alloys, and electricity generation has made a significant announcement.
The company is developing a waste heat recovery-based power plant at its Siltara Industrial Area in Raipur, Chhattisgarh, utilizing heat from its existing Ferro Alloys Furnaces and Pellet Plant Cooler exhausts to generate 7 MWh of green energy, totaling approximately 50,000 MWh annually. This will reduce CO2 emissions by 45,500 tons each year. The facility, a key step toward decarbonization, is being developed in collaboration with Siemens Limited (Business Representative for Siemens Energy, a global leader in energy technology) at an estimated cost of Rs. 73 Crores, fully funded from the company's internal accruals. The project is expected to be completed within 18 months.
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The combined leadership of Siemens Energy and the company is crucial in driving this sustainable initiative, aligning with India's carbon reduction goals. This collaboration represents a significant milestone in the company's sustainability journey. By harnessing waste heat to generate clean energy, the company aims to optimize operations and set a new benchmark for the steel and ferro alloys industry. This project further reinforces the company’s commitment to a sustainable future.
Godawari Power & Ispat Limited shares closed at around Rs 190 per share. The company’s current market capitalization stands at Rs 12,687 crore. The stock has delivered a multibagger return of over 2,500 per cent in the past 5 years. The company’s stock has undergone a stock split in the ratio of 5:1.
As per the Quarterly Results, in Q1 FY24, Godawari Power & Ispat Limited recorded a revenue of Rs 1530 crore. The operating profit for Q1 FY24 stood at Rs 329 crore. The net profit for Q1 FY24 was Rs 219 crore. Looking at the annual performance, the company generated a revenue of Rs 5455 crore in FY24. The operating profit for FY24 was Rs 1328 crore with a net profit of Rs 936 crore.
According to the shareholding pattern of Godawari Power & Ispat Limited, promoters own 63.26 per cent of the shares, public shareholders hold 27.27 per cent, FIIs have increased their stake to 7.50 per cent from 5.54 per cent, and DIIs hold 1.96 per cent, down from 2.08 per cent.
Disclaimer: The article is for informational purposes only and not investment advice.