Following the announcement that Suzlon Energy will be acquiring a 76% share in Renom Energy Services in two tranches from the Sanjay Ghodawat Group, the company’s shares jumped 4% in early trade on Wednesday.

With today’s gain, the stock has ended a two-day losing run.

Suzlon will acquire the shares in two tranches. The first tranche involves acquiring a 51% stake for ₹400 crore in cash. The remaining 25% will be acquired within 18 months, either through cash or a share swap.

A valuation of ₹1,040 crore will be done for the second tranche, while ₹784 crore will be acquired for the first. Suzlon’s balance sheet showed a cash balance of ₹1,100 crore at the end of the June quarter.

As of 10:14 am, Suzlon shares were trading 3.27% higher at Rs 68.44 on the NSE.

Disclaimer: The information provided in this article is for informational purposes only and should not be considered as financial advice. The data and figures presented are based on publicly available information and may be subject to change. Before making any investment decisions, it is recommended to conduct thorough research, consult with financial advisors, and consider your individual investment goals and risk tolerance. The author and publisher of this article do not assume any responsibility for any investment decisions made based on the information provided.

Suzlon share price jumped by 5% on Tuesday morning, reaching a new 52-week high of ₹57.83.

Suzlon reported a 200% rise in net profit from ₹101 crore to ₹302.29 crore during the quarter. Operating revenue increased by 49% to ₹2,015 crore from ₹1,347 crore. EBITDA increased 86% annually to ₹370 crore, with an 18.4% EBITDA margin. In May 2024, the company’s order book increased from 3.3 gigawatts to 3.8 gigawatts.

In response to the results, Morgan Stanley maintained Suzlon Energy at a “overweight” rating with a ₹58.5 price target.

The brokerage said that earnings for the June quarter exceeded expectations, with deliveries of 274 megawatts. The WTG segment contribution margin was 22.4%. According to experts, the company’s balance sheet remains robust.

As of 11:02 am, Suzlon shares were trading 4.83% higher at ₹57.74.

Disclaimer: The information provided in this article is for informational purposes only and should not be considered as financial advice. The data and figures presented are based on publicly available information and may be subject to change. Before making any investment decisions, it is recommended to conduct thorough research, consult with financial advisors, and consider your individual investment goals and risk tolerance. The author and publisher of this article do not assume any responsibility for any investment decisions made based on the information provided.