Anil Ambani owned Reliance Power hits 5% upper circuit after SECI lifts debarment notice

Reliance Power shares surged by 5 per cent to deed the precocious circuit astatine Rs 41.07 connected Wednesday, pursuing an announcement that Solar Energy Corporation of India Limited (SECI) had withdrawn its debarment notice.

This determination reinstates the company's eligibility to enactment successful each SECI tenders, a improvement announced done a property release.

The debarment, primitively issued connected November 6, had barred Reliance Power and its subsidiary, Reliance NU BESS Limited, from participating successful SECI tenders for 3 years. However, the announcement was revoked aft ineligible proceedings. While SECI retains the close to instrumentality enactment nether applicable laws, the withdrawal marks a important triumph for Reliance Power.

This affirmative improvement has bolstered capitalist sentiment.

On Tuesday, the banal closed astatine Rs 39.12, gaining 1 per cent, and has delivered robust returns of 63 per cent successful 2024 and 134 per cent implicit the past 2 years. The company's marketplace capitalization present stands astatine Rs 16,505.73 crore.

Analysts presumption the removal of the debarment arsenic a imaginable catalyst for further growth, fixed the important opportunities successful renewable vigor projects done SECI tenders.

With a price-to-earnings ratio of 13.25 and a beta of 2.12, Reliance Power remains a high-risk, high-reward play successful India's vigor sector.