After announcing a 26% acquisition in Amplus Tungabhadra Private Limited to run a captive power plant, Indus Towers’ stock increased by more than 2% on February 4.
Following the company’s announcement to markets that it had paid ₹27 crore to purchase a 26% stake in Amplus Tungabhadra Private Limited, a special purpose vehicle (SPV), Indus Towers shares increased by more than 2% in early trading on Tuesday, February 4.
We want to notify you that, in compliance with the electricity laws’ regulatory requirements for captive power consumption, the company has reached an agreement to acquire 26% of the equity share capital, on a fully diluted basis, in Amplus Tungabhadra Private Limited, a special purpose vehicle (‘SPV’), to own and run a captive power plant, the company said in an exchange filing today.
By legal regulations for captive power plants, the business will use 50 MW of renewable energy from the solar PV power plant.
This purchase supports sustainable energy use and advances Indus Tower’s Net Zero ambitions, which align with its renewable energy aspirations.
Amplus Tungabhadra Private Limited was founded in October 2023 and is involved in the following activities: generating and/or captive generation; accumulating, banking, transforming, distributing, transmitting, trading, supplying, and dealing in electricity; and owning, establishing, building, operating, and maintaining necessary power stations, including renewable energy plants. According to the exchange filing, Amplus Tungabhadra plans to establish a 50 MW solar PV captive facility.
Indus Towers’ share price increased by 2.45 per share after this announcement, reaching the day’s high of ₹358.50 on the BSE today. With a market valuation of more than ₹93,000 crore, the business is included in the BSE 200 index.
Indus Towers Q3 Results:
According to Indus Towers’ most recent financial report, the company’s sales increased 4.8% year over year (YoY) to ₹7,547 crore for the quarter that ended in December 2024.
(EBITDA) increased 93.2% yearly to ₹6,997 crore, indicating an excellent operating performance. At the same time, the bottom line jumped 159.9% year over year to ₹4,003 crore.
“We are happy to see that our ability to keep a significant portion of our big clients’ rollouts has paid off in the shape of strong tower and colocation additions, demonstrating our excellent execution skills and customer-focused philosophy. Prachur Sah, Director and CEO of Indus Towers Limited, said, “We recorded an excellent financial performance thanks to the strong additions and significant collections of overdue payments from a major customer.”
“We anticipate that the rollouts by additional customers and the restart of network expansion by a significant client will serve as powerful growth accelerators. Our emphasis on forming strategic alliances under Green Energy Open Access is a step in the right way, and we continue to include sustainability in our expansion plans,” he continued.
