3:1 Bonus Share: Suzlon Peer Company’s Debt-Free Multibagger Stock in Focus as Company Bags 60-MW Order from Serentica Renewables

The stock gave multibagger returns of 580 per cent in just 2 years and a whopping 2,160 per cent in 5 years.

Suzlon’s peer company, Inox Wind Limited (IWL), India’s leading wind energy solutions provider, announced today that it has bagged a 60 MW order from Serentica Renewables (Serentica), a leading C&I-focused renewable energy company in India. This order is for the supply of 3 MW class turbines to be delivered within H1 CY25. Additionally, IWL will provide multi-year post-commissioning operations & maintenance (O&M) services for these WTGs, which will be erected at the hybrid renewable energy project site being developed by Serentica in Karnataka. The power generated from this project will be supplied to Serentica’s partners, including the Vedanta Group. This milestone order for IWL opens large future opportunities to partner with another marquee C&I customer. In its quest to decarbonize energy-intensive industries through green power, Serentica has ambitious plans to massively scale up its RE capacities.

About Serentica Renewables: Serentica Renewables (India) is a decarbonization platform dedicated to providing 24/7 clean energy solutions to large-scale, energy-intensive industries. Focusing on industrial decarbonization, the company aims to replace more than 50% of India's commercial and industrial electricity consumption with renewable sources. Serentica offers a comprehensive approach, combining solar, wind, energy storage, and balancing solutions to ensure a reliable renewable energy supply. Their medium-term goal is ambitious: to deliver over 50 billion units of clean energy annually, displacing 47 million tons of CO2 emissions. The company has already secured substantial investment, receiving USD 650 million from leading global investor KKR.

About Inox Wind Ltd

Inox Wind, a subsidiary of INOX Group, manufactures wind turbines and offers complete solutions for wind farms in India. Focused on innovation and sustainability, they aim to be a major player in India's renewable energy shift.

Debt-Free Update: IWL announced the completion of an infusion of Rs 900 crore into the company by its promoter Inox Wind Energy Limited (IWEL). The funds were raised by IWEL on May 28, 2024, through the sale of equity shares of IWL through block deals on the stock exchanges, witnessing the participation of several marquee investors. The funds will be utilised by IWL to completely pare down its external term debt to achieve a net debt-free status wherein the net debt-free status excludes promoter debt. 

bonus Update: Earlier the shares of the company ex-traded bonus shares of 3:1 (three bonus equity shares for every one existing equity share) out of the accumulated reserves of the company. The company announced the revised record date was Friday, May 24, 2024.

Results: According to Quarterly Results, the net sales increased by 98 per cent to Rs 732.2 crore in Q2FY25 compared to net sales of Rs 370.64 crore in Q2FY24. The company reported a net profit of Rs 90.2 crore in Q2FY25 compared to a net loss of Rs 29.2 crore in Q2FY24, an increase of 409 per cent. In its half-yearly results, the net sales increased by 91 per cent to Rs 1,371.1 crore in H1FY25 compared to net sales of Rs 719.4 crore in H1FY24. The company reported a net profit of Rs 144.7 crore compared to a net loss of Rs 88.3 crore in H1FY24, an increase of 264 per cent. Looking at its annual results, the net sales increased by 137.8 per cent to Rs 1,743.24 crore in FY24 compared to FY23. The company reported a net loss of Rs 50.79 crore in FY24 compared to a net loss of Rs 696.84 crore in FY23.

The company has a market cap of over Rs 25,000 crore with a 3-year stock price CAGR of 115 per cent. The company’s order book is Rs 3,300 MW as of September 30, 2024. FIIs bought 3,19,42,953 shares and increased their stake to 15.82 per cent in September 2024 compared to 13.37 per cent in June 2024. The stock gave multibagger returns of 580 per cent in just 2 years and a whopping 2,160 per cent in 5 years. Investors should keep an eye on this multibagger stock under the radar.

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