Waaree Energies Gains 3% on Enel Green Power Acquisition for ₹792 Crore.

Waaree Energies Ltd.'s stock price rose 3% to ₹2,648 during early trade on January 13, following its announcement of acquiring Enel Green Power India Private Ltd (EGPIPL) for ₹792 crore. The acquisition marks a strategic move into Waaree Energies' renewable energy sector.

Acquisition Details

Waaree Energies signed a share purchase agreement with Enel Green Power Development on Friday, confirming that EGPIPL will become its subsidiary upon deal completion. EGPIPL manages a solar and wind portfolio in India with an operational capacity of 640 MWAC (760 MWDC). The projects are co-owned with partners, with EGPIPL holding the majority stake.

This acquisition is expected to:

• Expand Waaree Energies' footprint in the renewable energy sector.
• Diversify its revenue streams.
• Strengthen its wind energy project capabilities.

This agreement is pending regulatory approvals and lender consent and is expected to be finalized within three months.

Market Reaction

The transaction has bolstered market sentiment around Waaree Energies despite the stock correcting 20% over the past month.

Company Background

Waaree Energies, which recently entered the stock market, debuted on October 28, 2024, with a remarkable 66.3% premium over its issue price of ₹1,503 per share. The IPO raised ₹4,321 crore and was oversubscribed by 76.34 times, reflecting strong investor interest.

• Waaree Energies, operating five manufacturing plants across India, has solidified its position as a top solar panel manufacturer. Its facilities are in Surat, Tumb, Nandigram, Chikhli in Gujarat, and IndoSolar in Noida and Uttar Pradesh.