Rs 2,700 crore order win: This multibagger power sector stock secures 100 MW renewable project and 770 MW gas power supply contract!

Shares of the company gained more than 120 per cent in the last one year.

Torrent Power Limited (TPL) has secured significant wins on both the renewable and conventional energy fronts, solidifying its position as a key player in the Indian power sector. TPL emerged victorious in a competitive bidding process, receiving a Letter of Award from Railway Energy Management Company Limited (REMCL) to establish a 100 MW Round-The-Clock (RE-RTC) power project. This project, valued at approximately Rs. 2,700 crores, will involve installing 325 MW of renewable capacity and is expected to be commissioned within 24 months.

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Additionally, TPL has been awarded a contract by NVVN to supply power from its gas-based power plant during the upcoming summer months (March 16, 2024, to June 30, 2024). This contract aims to address the country's rising power demand, which peaks during certain summer periods. TPL will supply 770 MW of capacity with a minimum guaranteed supply of 388 MUs during the contract period. This win highlights the efficiency and flexibility of TPL's gas-based power generation, ideally suited for meeting peak summer demand.

Torrent Power Limited is engaged in the power generation, transmission and distribution business. It is a distribution licensee in Ahmedabad, Gandhinagar, Surat, Dahej SEZ, Dholera SIR, Dadra, Nagar Haveli, Daman and Diu and the distribution franchisee for Bhiwandi, Agra and SMK (Shil, Mumbra, Kalwa). The stock has delivered multibagger returns of over 180 per cent return in the last three years.

The stock has shown tremendous growth, and investors should keep a close eye on this stock.

Disclaimer: The article is for informational purposes only and not investment advice.