Sulzon Energy Ltd.’s stock rose 4% on Friday after the provider of renewable energy solutions announced it has received a 201.6 MW order from O2 Power Private Limited, defying the generally negative market trend. For the 201.6 MW wind power project, Suzlon Energy announced it would install 64 of its largest wind turbine generators (WTGs), each with a 3.15 MW rated capacity and a Hybrid Lattice Tubular (HLT) tower. In 2025, the project is anticipated to be put into operation.
The stock increased 4.14 percent to close at Rs 22.38.Suzlon Energy stated that it would carry out the project, including building and commissioning, and supply the wind turbines (equipment supply). Following commissioning, Suzlon Energy will also offer operation and maintenance services, according to the business.”With an extremely favorable policy environment, this order from Teq Green Power XI Private Limited is a testament of India Inc’s commitment to building a sustainable India,” said Girish Tanti, vice chairman of the Suzlon Group. The Suzlon 3 MW series is the next stage in the growth of our tried-and-true technology, and at 3.15 MW, it is now one of the biggest wind turbines in the nation.
CEO JP Chalasani said: “It is encouraging to see additional customers joining the Suzlon family as a result of expanding demand and greater commitment to renewable energy. In order to expedite and scale up wind energy installations in the nation and meet our national targets of 500 GW of non-fossil fuel installations by 2030, we believe that our 3 MW series will be a true game changer for the sector. Given the industry tailwinds, a deleveraged balance sheet, and a healthy order book, JM Financial commenced coverage on Suzlon Energy shares with a “Buy” rating and a September 2024 target of Rs 30 per share, based on a 25 times September 2025 earnings per share (EPS). Future performance of the company is expected to significantly improve.
Suzlon Energy has maintained a 30-35 percent market share in the domestic market after the difficult period, according to JM Financial, which also noted that the company’s expanding order book and higher-margin product mix provide revenue visibility over the next two years.