Adani Power shares scale 7.4% after family trust revokes holdings

Shares of Adani Power jumped 7.4 per cent to scale a price of Rs 527 each, after the decision of company promoters Gautam Adani and Rajesh Adani, who represent the SB Adani Family Trust, to revoke pledged holdings worth Rs 8,638 crore.

Adani Power is India’s biggest private thermal power producing company and, according to BSE filing, Gautam Adani and Rajesh Adani had revoked 14.87 crore pledged shares worth around Rs 8,638 crore. The amount is calculated on the basis of the stock’s closing price on May 7.

The promoters’ pledge for Adani Power were at 16.1 per cent in the fourth quarter of the fiscal year 2023-’24, or FY24, recording an increase from the 15.9-per cent mark that it achieved in the December quarter, according to a report in the Economic Times. The quantum of growth of the promoter’s pledged holdings was 30 Basis Points (BPs), data for the March quarter showed.

Year on year, Adani Power’s revenue for the March quarter increased 93 per cent to reach Rs 13,308 crore. The company registered an upsurge in Profit After Tax (PAT) worth Rs 4,645 crore in early March, while the number stood at Rs 13 crore in the same quarter of 2023. Shares of the company’s thermal power stock have fetched around 370 per cent returns over the past year.

Adani Power has the ability to produce 15,250 MW of thermal power from plants in Gujarat, Maharashtra, Madhya Pradesh, Karnataka, Rajasthan, Jharkhand and Chhattisgarh. The company, which belongs to the Adani Group, also has a solar power production plant Gujarat with a capacity of 40 MW.