Torrent Power Ltd shares rose to a new all-time high on Wednesday after the business received a large contract from the Maharashtra State Electricity Distribution business (MSEDCL). The transaction, worth Rs 1,680 crore, entails the long-term delivery of 2,000 megawatts (MW) of energy storage capacity from Torrent's pumped hydro storage project, which is linked to the interstate transmission system (InSTS). The contract is for 40 years, assuring a consistent stream of business for the corporation. MSEDCL will supply the electricity required to charge the storage unit, increasing Torrent Power's position in India's energy industry.

Following the news, Torrent Power shares surged 9.16% to a record high of Rs 1983.70 on the Bombay Stock Exchange (BSE), up from the previous closing of Rs 1817.15. The stock started strong at Rs 1922.95 and proceeded to rise throughout the day. A total of 1.51 lakh shares were traded, generating a turnover of Rs 29.36 crore on the BSE. Following the stock price spike, the company's market capitalisation increased to Rs 92,624 crore.

Torrent Power's stock has been on an upward trend for the past year. The stock is currently trading above its 5-day, 10-day, 20-day, 50-day, 100-day, and 200-day moving averages, showing continued investor optimism. Torrent Power has increased its value by 166% in the past year. In 2024 alone, the stock has increased by 104%. In the last five years, the company has returned 581%, making it one of the most appealing equities in the Indian power sector. On October 26, 2023, the stock fell to a 52-week low of Rs 692 and has since recovered dramatically.

Torrent Power got a Rs 1,680-crore contract for the supply of 2,000 MW of energy storage capacity. On October 7, 2024, the company received two award letters from MSEDCL. The first letter specifies 500 MW of energy storage capacity, with an additional 1,000 MW under the Greenshoe option. The second letter grants Torrent Power an additional 500 megawatts under the same Greenshoe option. The whole energy storage capacity of 2,000 MW is projected to be completely operational within 48 months of signing the Energy Storage Facility Agreement.

Torrent Power responded to the award, saying, "We would like to notify you that the company obtained two Letters of Award from MSEDCL on October 7, 2024. This is for (1) 500 MW of energy storage capacity and (2) an additional 1,500 MW with the Greenshoe Option from the InSTS-connected Pumped Hydro Storage Plant."

The company expressed confidence that this substantial order will improve its position in the renewable energy market and help it achieve its long-term growth objectives. Torrent Power Ltd, a member of the Torrent Group, is a major player in India's power sector. The corporation operates along the power value chain, including generation, transmission, and distribution of electricity.