The shares of the leading power transmission company gained up to 1 percent after the company successfully completed its ₹ 3,500 crores QIP with 4 times oversubscription.
With a market capitalization of Rs 82,128.72 crore, the shares of Torrent Power Ltd (NS:TOPO) were trading at Rs 1,629.85 per share, decreasing around 1 percent as compared to the previous closing price of Rs 1,645.55 apiece.
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Reason for rise:-
According to the company filing, Torrent Power Ltd announced the successful completion of its Rs 3,500 Crores Qualified Institutions Placement (“QIP”), the QIP saw a very strong demand of approximately 4x the size of the issue. The entire issue was placed with marquee long only investors such as SBI (NS:SBI) MF, Capital Group, SBI Pension, Kotak MF, Nippon MF, Norges Bank, and Amundi.
Moreover, this is the Company’s first stock offering, and the Torrent Group’s first in over 30 years. Torrent Power’s QIP is among the largest capital raised by a commercial utility in India this fiscal year.
Financial performance:-
Analyzing the company’s financial condition, revenue ramped up by 3 percent from Rs 6,961 crore in Q2FY24 to Rs 7,176 crore in Q2FY25, during the same time frame net profit dipped by 9 percent from Rs 543 crore to Rs 496 crore.
Installed capacity:-
The company has 4.4 GWp of installed generating capacity, including 2.7 GW of gas, 1.3 GWp of renewable, and 362 MW of coal. Additionally, around 3.1 GWp of renewable energy projects are now in development. Total (EPA:TTEF) generation capacity, including projects in advanced stages of development, is around 7.5 GWp.
Project Highlights:-
The company has 3 GW of renewable power capacity in the pipeline. Highlights include the 420 MWp solar project, with 87.7 MWp commissioned, and full capacity expected by Q2 FY’25. Other key projects are the 300 MW SECI XII wind project, with a SCOD extended to January 2026, and the 200 MW hybrid project, is set for commissioning by December 2025.
Additionally, the company is developing transmission projects, including the Khavda project, with an estimated cost of over ₹800 crores, and the Solapur project, costing around ₹470 crores. The C&I portfolio has 538 MWp under development, with 35 MWp already commissioned.
Investment plans:-
The company plans to invest around ₹20,000 crores over the next 3-4 years in renewable energy and transmission projects. These investments will drive capacity expansion and infrastructure development to support its growing portfolio in solar, wind, and hybrid energy projects.
Additionally, the company is venturing into green hydrogen with a pilot project in Uttar Pradesh expected by Q2 FY’25, and 18 KTPA allocated under SECI’s PLF tender. It has also identified potential for 8.4 GW pump storage hydro capacity in Maharashtra and Uttar Pradesh, requiring a total investment of ₹40,000 crores.
Company profile:-
Torrent Power Ltd is a significant integrated power utility firm in India that generates, transmits, and distributes power. Its operations span Gujarat, Maharashtra, Uttar Pradesh, and Karnataka.
Written by:- Abhishek Singh
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