On Monday, IREDA (Indian Renewable Energy Development Agency) will be in the spotlight. The Reserve Bank of India (RBI) has not approved IREDA’s request to invest in a big hydroelectric power project in Nepal. This project is called the 900 MW Upper Karnali Hydro Electric Power Project. IREDA says they will try again to get approval.
Earlier, on July 16, 2024, IREDA’s board said it could invest up to 10% of the total cost in a company called GMR Upper Karnali Hydro Power Limited and another company, Karnali Transmission Company Pvt. Ltd. This investment was estimated to be about Rs 290 crore and needed approval from the Indian government and other regulators.
Currently, GMR Upper Karnali Hydro Power Limited has investors including GMR and the Nepal Electricity Authority. On January 17, 2025, IREDA signed a non-binding partnership agreement with GMR Energy Ltd. and other partners for the project.
On January 15, 2025, India’s Department of Investment and Public Asset Management approved a 5% equity investment from IREDA in both companies in Nepal after the Ministry of New and Renewable Energy recommended it.
Stock Price Info: According to Trendlyne, the average target price for IREDA shares is Rs 215, showing a potential increase of 44% from current prices. However, 2 analysts suggest holding onto the stock.
Stock Performance: On Friday, IREDA shares were priced at Rs 149.7, a slight drop of 0.13%. The benchmark Sensex went down by 0.01%. The stock has dropped 34% in the last six months and has only gone up by 1% over the past year. IREDA’s market cap is about Rs 40,235 crore.
(Disclaimer: The opinions and recommendations presented are those of the experts and do not represent the views of The llv News)
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