IREDA Shares Rally On MoU With SJVN, GMR For 900 MW Hydro Project In Nepal

Shares of Indian Renewable Energy Development Agency Ltd. jumped nearly 7% in the morning trade on Tuesday after the company said it had signed a memorandum of understanding with SJVN and GMR Energy.

IREDA shares soared 6.96% in early trade, touching an intraday high of Rs 238.80 apiece on the BSE. The stock opened at Rs 228.10, up 2.12% from its previous close of Rs 223.25 per share. 

The government-backed company said that the agreement with SJVN and GMR Energy is related to the development and implementation of the 900 MW Upper Karnali hydroelectric project in Nepal.

Through the development of renewable energy infrastructure, the collaboration between the three companies will boost regional energy security, the company said in a statement.

“Our investment in this important hydropower project underscores IREDA’s ongoing commitment to advancing renewable energy initiatives. This collaboration not only accelerates the development of Nepal’s hydropower sector but also strengthens regional energy cooperation, supporting our shared goal of sustainable growth," Pradip Kumar Das, chairman and managing director of IREDA said.

IREDA shares had been on a losing streak for four consecutive sessions till Monday's closing of Rs 223.25 apiece. The shares were down nearly 28% from their all-time high of Rs 310 apiece, before bouncing back on Tuesday. However, the stock is still down 23% from its all-time high recorded on July 15 this year.

IREDA reported a strong start to the financial year 2025.  The public sector company posted a profit after tax (PAT) of Rs 383.6 crore in the June 2024 quarter, up 30% from the same period last year. The revenue from operations was reported at Rs 1,510 crore in Q1, up by 32% compared to the same quarter last year.

Shares of IREDA were trading at Rs 237.3 apiece at 10:16 am on the BSE, up by 6.29% from its previous close.