NHPC To Spend Rs 797 Crore On Developing 1,200 MW Solar Park In UP
The estimated cost of Rs 796.96 crore includes interest during construction of Rs 42.7 crore and equity investment of Rs 239.1 crore by NHPC in BSUL for the development of the solar park.
NHPC Ltd. is set to develop a solar park of 1,200 MW in Uttar Pradesh at an estimated cost of Rs 796.9 crore, according to an exchange filing from the company.
The solar park will be developed in Jalaun district by Bundelkhand Saur Urja Ltd., a subsidiary company of NHPC and a joint venture with the Uttar Pradesh New & Renewable Energy Department Agency.
This will be developed under Mode 8 of the Ministry of New and Renewable Energy scheme for development of solar parks and ultra mega solar power projects, named 'Ultra Mega Renewable Energy Power Parks'.
The estimated cost of Rs 796.96 crore includes interest during construction of Rs 42.7 crore and equity investment of Rs 239.1 crore by NHPC in BSUL for the development of the solar park.
This development comes after the company created a "borrowing plan" for fundraising for the current financial year in March 2025.
The firm's board of directors approved on March 19, a borrowing plan to raise up to Rs 6,300 crore in debt for the fiscal 2025–26.
According to an exchange filing from the firm, the company plans to secure funding through various means, including issuing redeemable, non-convertible corporate bonds (both secured and unsecured) in one or more private placements, and/or by obtaining term loans or external commercial borrowings in multiple installments.
Shares of NHPC closed 0.56% higher at Rs 90.37 per share, compared to a 0.67% uptick in the benchmark Nifty. The share price had risen 0.69% in the last 12 months and 12% for year-to-date.
Five out of the 10 analysts tracking the company have a 'buy' rating on the stock, two suggest a 'hold,' while three recommend 'sell', according to Bloomberg. The stock's return potential was at 4.2%.
