Solar & wind power generation company bags orders 1003.7MW from KPI Green Energy Ltd under the various tenders of Gujarat Urja Vikas Nigam Ltd

The stock gave multibagger returns of 260 per cent in just 1 year and a whopping 2,400 per cent in 3 years.

K.P. Energy Limited has secured a significant order of 1003.7 MW from KPI Green Energy Limited for the development of renewable energy projects under the various tenders of the Gujarat Urja Vikas Nigam Limited (GUVNL) and are expected to be completed in line with the timelines under definitive agreements. This order is divided into three phases: Phase I, a hybrid project combining 70 MW of solar and 16.8 MW of wind power; Phase II, another hybrid project with 518 MW of solar and 123.9 MW of wind power; and Phase III, a 275 MW solar-only project.

K.P. Energy Limited will be responsible for the entire EPCC process for these projects, including design, procurement, construction, and commissioning. KPI Green Energy Limited is a group company of K.P. Energy Limited and Dr Faruk G. Patel holds key positions in both companies. While this constitutes a related-party transaction, it is considered to be at arm's length and in the ordinary course of business. The projects are expected to be completed within the timelines specified in the definitive agreements, which will be mutually agreed upon by the parties.

KP Energy Ltd., a trusted corporate group, is a leader in the renewable energy sector, specializing in high-quality Wind Turbine Generators (WTGs) and solar power projects. With a strong management team, efficient cost structure, and a robust order book, the company excels in providing turnkey solutions for wind farm projects across India. Their commitment to innovation and quality, coupled with a proven track record, positions them as a pioneer in sustainable energy solutions. KP Energy Ltd. is driving impactful change in India's renewable energy landscape, shaping a greener and more sustainable future.

Talking about finances, this power company has a market cap of over Rs 4,000 crore with a 3-year stock price CAGR of 200 per cent. The shares of the company have an ROE of 37 per cent and an ROCE of 41 per cent. The company reported positive numbers in its Quarterly Results (Q1FY25) and annual results (FY24).

Earlier, the shares of company ex-traded bonus shares in the ratio 2:1, i.e., shareholders are entitled to the issuance of bonus equity shares of the company in the proportion of 2 equity shares of Rs 5 each for every 1 existing equity share of Rs 5 each as of record date. The ex-date was Monday, February 12, 2024.

The stock gave multibagger returns of 260 per cent in just 1 year and a whopping 2,400 per cent in 3 years. Investors should keep an eye on this Small-Cap stock.

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